Hi Traders! EURCAD triangle breakout provides buy opportunity. A detailed analysis of this bullish setup is as follows:
EURCAD W1 Chart:
On the weekly chart the price which is moving lower has currently reached a critical zone formed by the fibo levels of the cycle. In addition to this we also have a bullish divergence that has formed which we may consider as an evidence of bullish pressure. We may now look for more evidences of bullish pressure on lower timeframes in order to join the bulls.
EURCAD D1 Chart:
On the daily chart we have a bullish divergence that has formed which we may consider as an evidence of bullish pressure. In addition to this the price has broken above the most recent downtrend line which we may consider as another evidence of bullish pressure. We may now start looking for bullish setups with more bullish evidences on lower timeframes in order to start looking for the buys.
EURCAD H4 Chart:
On the H4 chart the price has created 3 higher highs, higher lows structure and in addition to this the price which was moving inside a triangle pattern has currently broken above the top of this pattern we may consider these as evidences of bullish pressure. We may now start looking for buys with more bullish evidences.
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 buy setup then you can use any setup and strategy that you have in your arsenal to look for bullish moves and join this buy trade.
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