As a follow up from my previous post on 
CADJPY , the market has rejected from our area of interest making for a successful long position. But on a more important note, the key observation about this pair is that despite a growing pessimism from traders, it still continues to soar higher. The pessimism regarding this pair comes from the notion that it is overbought on the 1H, 4H and daily timeframe. This is correct, however there are much bigger factors at play which influence this aggressive bullish rally.
Without going into so much fundamental depth, the most apparent of these influences is the heightened suspense amongst investors regarding monetary policy. This is especially true in the case of the Canadian Dollar.
Be that as it may, we will still continue looking for long opportunities- until the market breaks bullish market structure on the 1H timeframe. Our area of interest is the 105.282 to the 105.330 prices. If the market reaches this zone, we will look out for signs of a momentum shift (Using pure price action principles).
Until next time!
CADJPY , the market has rejected from our area of interest making for a successful long position. But on a more important note, the key observation about this pair is that despite a growing pessimism from traders, it still continues to soar higher. The pessimism regarding this pair comes from the notion that it is overbought on the 1H, 4H and daily timeframe. This is correct, however there are much bigger factors at play which influence this aggressive bullish rally. Without going into so much fundamental depth, the most apparent of these influences is the heightened suspense amongst investors regarding monetary policy. This is especially true in the case of the Canadian Dollar.
Be that as it may, we will still continue looking for long opportunities- until the market breaks bullish market structure on the 1H timeframe. Our area of interest is the 105.282 to the 105.330 prices. If the market reaches this zone, we will look out for signs of a momentum shift (Using pure price action principles).
Until next time!
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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.