CADCHF: LONG for BULLISH continuation
For this analysis, I will use 2 hour chart cos things looks clearer for a case of Bullish continuation.
After hitting the low early Thu, price pull back and closed at the high of the day with a daily Bullish engulf. That's a sign of Bullishness. Fri see price consolidated before a Bullish impulse follow by a Bear flag. What makes the case for the Bullish continuation is within this Bear flag. If you notice, as price comes off, the volume are rising. Which is a good indication of Bearishness. The problem lies in the magnitude of decline. Look to the left on the rising candle for the Bullish daily closed and you would notice that with the same volume, the magnitude of rise in price is more. This is telling me that there are Bulls in the background in the Bear flag. This is further evidence in the 2nd last H2 candle. Notice the higher volume compare to the last 4 candles? Yet price is not making a new low. That is a sign of strength. All these evidence indicate to me that we will be seeing a Bullish continuation.
DISCLAIMER:
Any opinions, analyses discussed in this presentation are just my personal opinion and do not constitute investment advice.
I do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
PRICE ACTION only tell half the story. The other key half is VOLUME. For VOLUME drive price.
After hitting the low early Thu, price pull back and closed at the high of the day with a daily Bullish engulf. That's a sign of Bullishness. Fri see price consolidated before a Bullish impulse follow by a Bear flag. What makes the case for the Bullish continuation is within this Bear flag. If you notice, as price comes off, the volume are rising. Which is a good indication of Bearishness. The problem lies in the magnitude of decline. Look to the left on the rising candle for the Bullish daily closed and you would notice that with the same volume, the magnitude of rise in price is more. This is telling me that there are Bulls in the background in the Bear flag. This is further evidence in the 2nd last H2 candle. Notice the higher volume compare to the last 4 candles? Yet price is not making a new low. That is a sign of strength. All these evidence indicate to me that we will be seeing a Bullish continuation.
DISCLAIMER:
Any opinions, analyses discussed in this presentation are just my personal opinion and do not constitute investment advice.
I do not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
PRICE ACTION only tell half the story. The other key half is VOLUME. For VOLUME drive price.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.