NZD/CAD, My favourite Setup! Short Idea
High frames :
Monthly : Rejection from a major resistance, "W pattern formation"
Weekly : Massive sell-off reaction
Daily : Higher highs / Higher lows mechanism = False
Lower frames
Consolidation, "price moving sideways".
Sell continuation = Bearish flags / Triangles
Correction upwards occurs "most of the times" when there is a consolidation. "Take a look at my last trade on EUR/GBP".
How to enter the trade
Focus on very low frames after having a macro-vision about the trend. (Bearish/Bullish)
-Now we had 2 consecutive weeks of sell-off actions and as it's visible on the chart, I'm expecting a retest somewhere around the boxed Areas.
-No one can tell when it'll reject so here comes the real understanding of market psychology using patterns (Double tops in this case or H&S / Harmonic patterns / Candlestick patterns approving the buyers weakness)
-This trade is canceled if the retest doesn't occur.
Monthly : Rejection from a major resistance, "W pattern formation"
Weekly : Massive sell-off reaction
Daily : Higher highs / Higher lows mechanism = False
Lower frames
Consolidation, "price moving sideways".
Sell continuation = Bearish flags / Triangles
Correction upwards occurs "most of the times" when there is a consolidation. "Take a look at my last trade on EUR/GBP".
How to enter the trade
Focus on very low frames after having a macro-vision about the trend. (Bearish/Bullish)
-Now we had 2 consecutive weeks of sell-off actions and as it's visible on the chart, I'm expecting a retest somewhere around the boxed Areas.
-No one can tell when it'll reject so here comes the real understanding of market psychology using patterns (Double tops in this case or H&S / Harmonic patterns / Candlestick patterns approving the buyers weakness)
-This trade is canceled if the retest doesn't occur.
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