CAD FUTURES, Bear-Flag-Formation, Upcoming BREAKOUT!Hello There!
Welcome to my new analysis about the CAD FUTURES on the weekly timeframe perspective. The index recently continued with bearish developments after printing several lower highs. Now important further determinations need to be made as such an bearish price action can activate further continuations if there are no main reversal signs to consider. Within this case I detected important developments with the CAD FUTURES which could signal a potential bearish price action and long-squeeze on the road.
When looking at my chart you can watch there the CAD FUTURES continued to print these several lower highs always pulling to the downside off the descending trend-line marked in red. Furthermore, the CAD FUTURES have the 65-EMA marked in red as a main resistance within the already established downtrend. Within this downtrend the index formed a wave-count towards the downside with the waves A and B already formed and with the wave B actually forming this crucial bear-flag-formation likely to complete in the next times.
Once the breakout below the lower boundary of the flag-formation has shown up this means that CAD FUTURES are going to set-up the origin of the wave C extension and are going to continue with the extension till the main targets marked in my chart have been reached. Once the targets have been reached it will be important how the index continues from there on because if the bearish momentum increases massively in this case there is an increased possibility for the index to continue within the bearish-continuation-zone. In the next times the final breakout-determination will indicate the further price action. In any case, it will be an important development to consider.
In this manner, thank you everybody for watching the analysis, support from your side is greatly appreciated.
VP
