#USDCAD another selling opportunity
Updated
If you remember we already took one successful short trade from the previous red arrow and although we were expecting price to move further down and create new low for higher timeframe this didn't happen.
As a result price went up and giving us another selling opportunity.
As you can see in the picture price is at important static resistance area and just below 4H and 1H EMA which both acting as resistance.
But the thing that we should be consider before taking position from the area that price currently is sitting on is the possibility that if price wants to come and take liquidity from the local top that formed earlier and since there is a lot of stop losses could be a good target for price to reach and take out liquidity.
So if you want to take position from this area keep in mind the possibility of price moving higher to take out loquidity.
As a result price went up and giving us another selling opportunity.
As you can see in the picture price is at important static resistance area and just below 4H and 1H EMA which both acting as resistance.
But the thing that we should be consider before taking position from the area that price currently is sitting on is the possibility that if price wants to come and take liquidity from the local top that formed earlier and since there is a lot of stop losses could be a good target for price to reach and take out liquidity.
So if you want to take position from this area keep in mind the possibility of price moving higher to take out loquidity.
Trade active
trade is active since price test the arrow line and got rejected from. currently moving towards its previous low. we also expect more follow through from the price and looking forward to see a penetration of previous low. But our target currently is at the low and we'll see what happen from there.
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