Hello Traders,
Here is the Top-Down Analysis of USDCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 50 - Dec 07
M > Market has been bearish for 2nd month in a row and price has dropped to test monthly support.
W> We see bullish divergence and expect a correction to the upside.
D > We see an over extended M formation and expect price to test its neck to complete the formation, in case price succeeds to break this level then daily demand zone will be our next target.
As per COT CAD closed Long and further added Short positions, reducing net positions, however cumulative net position with N-R has improved. CXY strengthened during the said period and after testing monthly resistance it further gained strength last week and is now testing next resistance level. We can expect correction to the downside as strong bearish divergence can be seen for CXY.
4H > We do not see any sign of reversal at this stage and in its current move price can continue with its bearish move.
Pair Correlation > USDCAD has negative correlation with GBPUSD, AUDUSD, EURUSD and NZDUSD.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of USDCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 50 - Dec 07
M > Market has been bearish for 2nd month in a row and price has dropped to test monthly support.
W> We see bullish divergence and expect a correction to the upside.
D > We see an over extended M formation and expect price to test its neck to complete the formation, in case price succeeds to break this level then daily demand zone will be our next target.
As per COT CAD closed Long and further added Short positions, reducing net positions, however cumulative net position with N-R has improved. CXY strengthened during the said period and after testing monthly resistance it further gained strength last week and is now testing next resistance level. We can expect correction to the downside as strong bearish divergence can be seen for CXY.
4H > We do not see any sign of reversal at this stage and in its current move price can continue with its bearish move.
Pair Correlation > USDCAD has negative correlation with GBPUSD, AUDUSD, EURUSD and NZDUSD.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
