US crude oil - H4 chart - I prefer shorts due to bearish structure on H4 time frame. Main trend is still bullish so this is a reversal setup on daily time frame but with-trend pull back setup on H4 so quick swing with great risk to reward.
1.Daily Trend line Broken
2.Support Broken Resistance Valid
3.Profit margin 1:3
4.Price action high on the curve
5.Strong price action move up to the zone
1. There are numerous support (minor)v obstructions
USDCAD has formed an inverse head & shoulder pattern on the 4hr with daily showing signs of the bulls coming back and price reacting to the 78% fib level a mayor trend line zone of a weekly Chanel with a possible yet another higher low forming.
Order set above the Inner TL once it has broken on the 4hr which is also the 4hr inverse h&S neckline.
As you can see we have a trendline that's been tested on several occasion. It's safe to say to go short here - we've also got support by 100 bar weekly MA being a resistance. Watch for false breaks TP when price get's around the lower violet trendline
Even us die hard bulls were questioning the validity of this elliotwave 5 wave sequence earlier in the week which gives USoil a potential butterfly pattern to 59 dollars , but now it has shown its true colours.
I will be looking at 48.30 as its key resistance for a short...and a potential retest of the 46.60 support....before it takes off again...