CADCHF facing downward pressure
Updated
CADCHF is heading towards the descending trend line and already demonstrating signs of resistance around 0.74650(observe price action). Break out towards the 0.75 price area will invalidate the trade as it will confirm a trend reversal resulting from the break of the trend line.
Be careful when shorting this pair because the CAD is considered a commodity currency which makes it sensitive to investors outlook on global economic growth. With Trump being recently in the news and withdrawing his decision to increase tariffs on Mexican imports, investors have turned to a bullish outlook which has helped bolster WTI and UK oil price which in turn will also strengthen the Canadian dollar as oil and the cad have a positive correlation.
Be careful when shorting this pair because the CAD is considered a commodity currency which makes it sensitive to investors outlook on global economic growth. With Trump being recently in the news and withdrawing his decision to increase tariffs on Mexican imports, investors have turned to a bullish outlook which has helped bolster WTI and UK oil price which in turn will also strengthen the Canadian dollar as oil and the cad have a positive correlation.
Note
for those wondering why i set my take profit where it is is because that is the next major support level so prices have the ability to reach and reverse from that AREA
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