EUR/CAD Consolidation Watch: Ready for a Breakout!
Hey traders, here’s the scoop on EUR/CAD:
⚠️ EUR/CAD is currently showing signs of consolidation after a recent bullish move.
On the 4-hour time frame, we can see that the market is trading within a well-defined range. Here’s the breakdown:
✅ Bullish Scenario:
Entry: Look for a strong breakout above the resistance level at 1.47121. This level has been tested multiple times and a breakout here could indicate a continuation of the bullish trend.
Stop Loss: Place your stop loss just below the recent swing low at around 1.46790 to protect against false breakouts.
Target 1: The first profit target can be set at 1.47487, offering a reasonable risk-reward from the entry point.
Target 2: If momentum continues, look for an extended target around 1.47774.
❌ Bearish Scenario:
Entry: If the price fails to break above 1.47121 and shows signs of reversal, consider entering a short position.
Stop Loss: Place your stop loss just above the resistance level at around 1.47200.
Target 1: The first profit target can be set at the support level of 1.46790.
Target 2: If bearish momentum is strong, look for an extended target around 1.46400.
Key Indicators:
The 21 EMA (yellow line) is acting as dynamic support. A break below this could be an early sign of a bearish move.
The 200 EMA (blue line) is far below the current price, indicating a strong bullish trend overall.
Monitor price action closely near these critical levels for any signs of breakout or reversal, and as always, adjust your strategy based on real-time market conditions. Let’s catch these moves and trade smart! 📈💼
⚠️ EUR/CAD is currently showing signs of consolidation after a recent bullish move.
On the 4-hour time frame, we can see that the market is trading within a well-defined range. Here’s the breakdown:
✅ Bullish Scenario:
Entry: Look for a strong breakout above the resistance level at 1.47121. This level has been tested multiple times and a breakout here could indicate a continuation of the bullish trend.
Stop Loss: Place your stop loss just below the recent swing low at around 1.46790 to protect against false breakouts.
Target 1: The first profit target can be set at 1.47487, offering a reasonable risk-reward from the entry point.
Target 2: If momentum continues, look for an extended target around 1.47774.
❌ Bearish Scenario:
Entry: If the price fails to break above 1.47121 and shows signs of reversal, consider entering a short position.
Stop Loss: Place your stop loss just above the resistance level at around 1.47200.
Target 1: The first profit target can be set at the support level of 1.46790.
Target 2: If bearish momentum is strong, look for an extended target around 1.46400.
Key Indicators:
The 21 EMA (yellow line) is acting as dynamic support. A break below this could be an early sign of a bearish move.
The 200 EMA (blue line) is far below the current price, indicating a strong bullish trend overall.
Monitor price action closely near these critical levels for any signs of breakout or reversal, and as always, adjust your strategy based on real-time market conditions. Let’s catch these moves and trade smart! 📈💼
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.