Canda
USDCAD LONG THE FUCK OUT OUT OF IT.1. Broke through a very strong structure after getting rejected multiple times
2. Increasing upside volume
3. Good RR about 3
4. Higher highs and lower low.
5. Daily time frame shows that the breakout from the main correction trend is still in play. As of now, a potential breakout of a bull flag can be possible.
*THUS LONG PULLBACK @1.3085
Fundamentals
1. Bad CAD data today
2. USD has been gaining back some grounds in past 2 days.
Bears fighting Bulls... Not a pretty thing, but a lot of actionFor the past about 45 days we have seen a little under 300 pip range of consolidation. However on the weekly the 1600 pip drop from last may to September had never made a valid Lower High until it reached the 38.2% Fib RetraceIt has found resistance under the 50 level on weekly which shows still a majority of sellers in market. This strong median is what is causing the massive consolidation.
Analyzing this pair on the Daily it has had a lot of bullish strength trying to fight back. I would want to see a break of the 1.28000 level before seeing huge momentum switch toward the downside. USDCAD is known to freefall... Play this pair carefully in this consolidation. Price always reveals itself, in reality one can only win - buyers or sellers. React from price instead of predicting price.
Will update pair throughout week.