EURCAD is trading close to the neckline of the head and shoulder pattern on the 4H chart. As soon as we get a single 4h close above the neckline, we enter a buy trade with stop loss at 1.45501 which is the approx depth of the shoulder. The up move in the pair is also supported by the daily candlestick pattern that formed a bullish engulfing pattern two days back....
While the price is above the support 1.4750, beginning of uptrend is expected.
We make sure when the resistance at 1.5115 breaks.
If the support at 1.4750 is broken, the short-term forecast -beginning of uptrend- will be invalid.
The RSI bounced from the resistance #1 at 48 and it prevented price from more gains.
A peak is...