"EURCAD Trade Setup: Breakout, Retest, and Potential Long Entry"

Sep 11

Technical Analysis of EURCAD

▪ Market Structure: Bullish Reversal in Progress

The pair previously formed a series of lower highs (LH) and lower lows (LL), indicating a downtrend.
A break of structure (BOS) followed by a higher low (HL) suggests a potential bullish reversal.

▪ Key Support & Resistance Zones

▫ Support Zone: 1.6000–1.6050
Price respected this level and formed a higher low (HL), confirming it as a strong demand zone.
▫Current Resistance Zone (RBS/Entry Area): 1.6200–1.6260
Price is currently retesting this area after a strong breakout.

▪ Breakout Confirmation

A strong breakout above the minor resistance level occurred with volume support.
Price has pulled back to retest the RBS (Resistance Becomes Support) zone, indicating a potential long entry opportunity.

▪Short-Term Projection

If the RBS zone holds, we can expect a bullish continuation toward the next resistance/target area at 1.6363.
If the zone fails, price may retest the support level near 1.6000 before another potential move higher.

▪ Conclusion

The current market structure and price action suggest a bullish bias. Traders should watch for bullish confirmation in the RBS zone for potential long setups targeting the 1.6363 level.

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Sep 15

Trade active

Sep 18

Trade closed: target reached