AUDCAD Shorts
AUD/CAD Analysis
• Daily Timeframe: The pair is currently in an uptrend, following a trendline that has been respected so far. This indicates overall bullish momentum.
• 4-Hour Timeframe: A pullback appears to be underway, suggesting the price may retrace and test the trendline again. Recently, the pair formed a higher high, and I anticipate the formation of a higher low as part of the ongoing trend.
• 1-Hour Timeframe: The price recently broke a key support level on the 4-hour chart. This level is now being tested as a new resistance, indicating a potential reversal zone. The current move appears to be a bounce from the previous support-turned-resistance, setting up for a short-term move downward.
Trade Setup: This setup provides a potential risk-reward ratio of 1:4 for a quick trade to the downside. I’m expecting this scenario to play out before the end of the week.
• Daily Timeframe: The pair is currently in an uptrend, following a trendline that has been respected so far. This indicates overall bullish momentum.
• 4-Hour Timeframe: A pullback appears to be underway, suggesting the price may retrace and test the trendline again. Recently, the pair formed a higher high, and I anticipate the formation of a higher low as part of the ongoing trend.
• 1-Hour Timeframe: The price recently broke a key support level on the 4-hour chart. This level is now being tested as a new resistance, indicating a potential reversal zone. The current move appears to be a bounce from the previous support-turned-resistance, setting up for a short-term move downward.
Trade Setup: This setup provides a potential risk-reward ratio of 1:4 for a quick trade to the downside. I’m expecting this scenario to play out before the end of the week.
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