NZDCAD Short: Wolfe Wave + Expanding Triangle at 50% Retrace
Updated
After the RBNZ announcement cancelled the last NZDCAD short, a new opportunity has presented itself. A bearish WW has formed with the touch of the 2-4 parallel confluent with the 50% retracement level. We also have a potential E point of an expanding triangle complete which may mark a larger reversal from these levels. On the daily chart, the pair is contained within a bearish expanding triangle and this could present an opportunity to ride it down toward point E on the larger TF. The unhit pivot for June 2016 presents a nice target at which to take profit.
Bearish Confluence:
Again, be mindful of news events. It is a good idea to wait until the Poloz speech at 11:15EST for entry as this may present significant CAD volatility. Happy trading to all!
Bearish Confluence:
- Bearish Wolfe Wave complete
- Expanding triangle
- 50% retracement level
- Descending expanding triangle on daily TF
- Unhit June, 2016 pivot below price
- Bearish RSI Divergence
- RSI Overbought
Again, be mindful of news events. It is a good idea to wait until the Poloz speech at 11:15EST for entry as this may present significant CAD volatility. Happy trading to all!
Note
3 Day Chart:Trade active
She's live babyNote
Great rebound - we're up about 100 pips and all with under 2 pips of drawdown. Moving stops to breakeven as price approaches the top of the WW 1-3 line.Trade closed manually
Stopped out a breakeven
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