Time To BUY EURCAD 1200 PIP Move On The Horizon ?
EURCAD has been dropping pretty heavy for nearly 2 years now and analyzing the MONTHLY and WEEKLY charts we have now entered a key long term demand/buy zone and at we touched a strong support level from 2011 this is all indicating that we have a potential 1200 pip BUYING opportunity back up to 1.40.
As you can see on the chart above on the DAILY chart price has been grinding down to this key level and has started to create divergence signals on the MACD price creating new lows while the MACD moving higher indicating slowing of momentum inside a key MONTHLY demand/level thus indicating a reversal is on hand.
What I expect to happen next week is price to maybe come down to test last weeks LOW around 1.29 or maybe slightly lower which will allow me to start positioning myself in this LONG trade.
I will have a stop loss around 1.265 and long term take profit of 1.40 area nearly a 5:1 risk/reward on this position a break and clean close below the weekly demand zone will invalidate this position.
Hope you enjoyed this breakdown happy trading
As you can see on the chart above on the DAILY chart price has been grinding down to this key level and has started to create divergence signals on the MACD price creating new lows while the MACD moving higher indicating slowing of momentum inside a key MONTHLY demand/level thus indicating a reversal is on hand.
What I expect to happen next week is price to maybe come down to test last weeks LOW around 1.29 or maybe slightly lower which will allow me to start positioning myself in this LONG trade.
I will have a stop loss around 1.265 and long term take profit of 1.40 area nearly a 5:1 risk/reward on this position a break and clean close below the weekly demand zone will invalidate this position.
Hope you enjoyed this breakdown happy trading
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