The break above 1,2630 didn´t happen but i will try to explain why i was looking for a breakout.
We have that nice momentum and the move up from february 2018.
USDCAD came back to the 61,8% Fibo Level which also builded a good support. It was also a nice volume zone during the move up.
On 17th april there came the break of the support. The next day there was the BOC which was a fundamental trigger. One bullish candle went trough the whole volume level.
So with fundamentals behind such moves often cause a minimum shortterm reversal or a switch in the direction.
If today there would be again a bullish break about the level 1,2630 that would be a confirmation for a continuation of the reversal.
It didnt brake through the 1,2630. The high was 1,2629. So it was a bearish sign and so i canceled my Stop Buy at 1,2630.
So that was the idea behind the trade also the brake didnt happen.
The Level 1,2630 will be still on my watchlist.
I hope it could give you some help and some inspiration.
We have that nice momentum and the move up from february 2018.
USDCAD came back to the 61,8% Fibo Level which also builded a good support. It was also a nice volume zone during the move up.
On 17th april there came the break of the support. The next day there was the BOC which was a fundamental trigger. One bullish candle went trough the whole volume level.
So with fundamentals behind such moves often cause a minimum shortterm reversal or a switch in the direction.
If today there would be again a bullish break about the level 1,2630 that would be a confirmation for a continuation of the reversal.
It didnt brake through the 1,2630. The high was 1,2629. So it was a bearish sign and so i canceled my Stop Buy at 1,2630.
So that was the idea behind the trade also the brake didnt happen.
The Level 1,2630 will be still on my watchlist.
I hope it could give you some help and some inspiration.
Its now changing the direction.
So i am looking for a re-entry.
The scenario happend like i said but first they tested the short side :).