AUD/CAD (1H) – Bearish Wedge Formation & Sell Setup
Market Overview:
The AUD/CAD pair is currently forming a rising wedge pattern, a bearish signal indicating a potential breakdown. The price is consolidating within support and resistance levels, showing signs of weakening momentum.
Key Technical Observations:
🔹 Rising Wedge Pattern: The price is making higher highs (HH) and higher lows (HL), but the structure is narrowing, indicating a potential breakdown.
🔹 Neckline Support: The key level to watch is 0.8990—a break below this support will confirm the bearish move.
🔹 Breakout Confirmation: A break below the neckline will trigger a strong downside move, confirming the wedge breakdown.
Trade Setup:
📌 Sell Stop Entry: 0.8990 (Below neckline support)
📌 Stop Loss: 0.9036 (Above resistance)
📌 Take Profit 1: 0.8944
📌 Take Profit 2: 0.8898
Trading Plan:
✅ If the price breaks below the neckline at 0.8990, a sell stop order will be triggered.
✅ A stop loss is placed above the recent resistance at 0.9036 to minimize risk.
✅ If the price reaches TP-1 (0.8944), consider securing partial profits and adjusting the stop loss.
✅ A further decline towards TP-2 (0.8898) is expected if momentum continues.
💡 Conclusion:
A breakdown from this wedge structure could lead to a strong bearish move. Traders should wait for confirmation below 0.8990 before entering the trade.
📉 Stay disciplined & trade with a strategy! 🚀
The AUD/CAD pair is currently forming a rising wedge pattern, a bearish signal indicating a potential breakdown. The price is consolidating within support and resistance levels, showing signs of weakening momentum.
Key Technical Observations:
🔹 Rising Wedge Pattern: The price is making higher highs (HH) and higher lows (HL), but the structure is narrowing, indicating a potential breakdown.
🔹 Neckline Support: The key level to watch is 0.8990—a break below this support will confirm the bearish move.
🔹 Breakout Confirmation: A break below the neckline will trigger a strong downside move, confirming the wedge breakdown.
Trade Setup:
📌 Sell Stop Entry: 0.8990 (Below neckline support)
📌 Stop Loss: 0.9036 (Above resistance)
📌 Take Profit 1: 0.8944
📌 Take Profit 2: 0.8898
Trading Plan:
✅ If the price breaks below the neckline at 0.8990, a sell stop order will be triggered.
✅ A stop loss is placed above the recent resistance at 0.9036 to minimize risk.
✅ If the price reaches TP-1 (0.8944), consider securing partial profits and adjusting the stop loss.
✅ A further decline towards TP-2 (0.8898) is expected if momentum continues.
💡 Conclusion:
A breakdown from this wedge structure could lead to a strong bearish move. Traders should wait for confirmation below 0.8990 before entering the trade.
📉 Stay disciplined & trade with a strategy! 🚀
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.