Hi Traders! CADCHF range breakout provides bearish opportunity for us. A detailed analysis of this sell setup is as follows:
CADCHF W1 Chart:
On the weekly chart the price was moving inside a triangle pattern, the price which was respecting this pattern so far has currently broken below it, we may consider this as an evidence of bearish pressure. We may now look for more evidence of bearish pressure on lower timeframes in order to join the bears.
CADCHF D1 Chart:
On the daily chart the price was moving inside a range, this range was formed by the highs and lows reaching similar resistance and support zones. The price which was respecting this range so far has currently broken below the bottom of it, we may consider this as an evidence of bearish pressure. We may now look for pullbacks and sells with more bearish evidences on lower timeframes.
CADCHF H4 Chart:
On the H4 chart currently it looks like a pullback is happening, we also have potential hidden bearish divergence. We may now look for bearish setups with more bearish evidences in order to join the bears.
Note: It is always recommended to look for confirmations before you jump into any trade. If you are not sure about how to trade this sell setup then you can use any setup and strategy that you have in your arsenal to look for bearish moves and join this sell trade.
Not sure how to spot reversals (bounces)? Not sure how to spot breakouts?
Also you can get one of my strategies free of charge. You will find all the details here
Yours to your success