7 Dimension Analysis For USDCAD🕛 TOPDOWN - Anticipating a Bullish Breakout in a Super Consolidation Phase
Overview: The market has been in a super consolidation phase from 2016 to 2023, forming a yearly flag, signaling a potential continuation. Monthly and weekly scenarios reveal a ranging market, seemingly dull, but with indications of a change. The Wyckoff spring on the weekly chart signals a shift from a downtrend to a pre-breakout buildup, suggesting upcoming momentum and volatility.
😇 7 Dimension Analysis
Time Frame: Daily
1️⃣ Swing Structure: Bullish to sideways
🟢 Structure Behavior: Break of Structure (BoS)
🟢 Swing Move: Impulsive sideways buildup
🟢 Inducement: Done, inside low confirmed.
🟢 Pull Back 1st: Strong, with the mitigation of the 1st Order Block (OB), a robust bull signal.
🟢 Internal Structure: Sideways bullish. Confluence across daily, weekly, monthly, yearly time frames.
🟢 Support/Demand Area: An imminent buy area. Trendline marked for a bullish breakout.
2️⃣ Pattern
🟢 CHART PATTERNS
Reversal: Potential rounding patterns; internal round may form at the support level of 1.3520.
🟢 CANDLE PATTERNS
Key Considerations:
Observing candle behavior at the forthcoming support area.
3️⃣ Volume: At 1.3572, significant buy volume, marking a potent Point of Interest (POI) for bullish entry.
4️⃣ Momentum RSI:
🟢 Momentum State: Sideways zone.
🟢 Range Shift: Bullish to sideways.
🟢 Overbought Rejections: Count of 2.
5️⃣ Volatility Bollinger Bands:
🟢 Middle band below the price, a preferable position.
🟢 Commencement of a squeeze.
🟢 Completion of a head fake, indicating potential bullish movement.
🟢 Puncher pin at the lower band, a bullish signal.
6️⃣ Strength: USD is stronger than CAD at this point.
✔️ Entry Time Frame: Daily
✅ Entry TF Structure: Bullish
☑️ Current Move: Corrective move is done, and a churn in H1 (Hourly) suggests potential momentum.
✔ Support/Resistance Base: Daily demand area.
☑️ Candles Behavior: RSC, Long wicks, Doji, Momentum.
☑️ FIB Trigger Event: Confirmed.
☑️ Final Comments: Buy Now.
💡 Decision: BUY.
🚀 Entry: 1.3620
✋ Stop Loss: 1.3540
🎯 Take Profit: 1.4049
2nd Exit if Internal Structure Changes, 3rd Trendline Breakout, FOMO.
😊 Risk to Reward Ratio: 1:5
🕛 Expected Duration: 30 DAYS
SUMMARY: The analysis strongly suggests a bullish breakout in a market transitioning from super consolidation. With confluence across various time frames and supportive indicators like the Wyckoff spring, there's a comprehensive bullish bias. Key focus areas include a significant demand zone, observable candle behavior, and the completion of a head fake in the Bollinger Bands. The strategy involves a confident buy entry with clear risk management and exit criteria.
