USD/CAD, WILL IT CONTINUE MOVING IN PARALLEL CHANEL OR BREAKOUT?
Updated
Plan A
If it respects the parallel channel and produces bullish candles and forms HL, then;
Buy at Bullish candlesticks pattern
TP 1: 1.27694 (Slightly below the previous HH, and also a major resistance)
TP 2: 1.27922 (At previous HH and major resistance)
SL: 1.26385 (Slightly below the previous HL)
Plan B
If it does not respect the parallel channel and gives a bearish break out then;
Sell at bearish candles sticks pattern forming right after breaking the parallel channel
TP 1: 1.26439 (Support)
TP 2: 1.25972 (Support)
SL: Get out of it If it enters into the parallel channel again after few candles
Bullish Indications (Why Plan A?):
Higher Highs & Higher Lows
Formation of parallel Upward channel
Continuous respect towards Bullish trendline
Bullish candles at HL if at the the time of buying
Bearing Indications (Why Plan B?):
Formation of bearish candlestick patterns at HL
Bearish breakout of Bullish parallel channel & trend
BIASED: LONG
If it respects the parallel channel and produces bullish candles and forms HL, then;
Buy at Bullish candlesticks pattern
TP 1: 1.27694 (Slightly below the previous HH, and also a major resistance)
TP 2: 1.27922 (At previous HH and major resistance)
SL: 1.26385 (Slightly below the previous HL)
Plan B
If it does not respect the parallel channel and gives a bearish break out then;
Sell at bearish candles sticks pattern forming right after breaking the parallel channel
TP 1: 1.26439 (Support)
TP 2: 1.25972 (Support)
SL: Get out of it If it enters into the parallel channel again after few candles
Bullish Indications (Why Plan A?):
Higher Highs & Higher Lows
Formation of parallel Upward channel
Continuous respect towards Bullish trendline
Bullish candles at HL if at the the time of buying
Bearing Indications (Why Plan B?):
Formation of bearish candlestick patterns at HL
Bearish breakout of Bullish parallel channel & trend
BIASED: LONG
Note
TP 1 Hit ;)Note
TP 2 Hit :)
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