{"id":100856,"date":"2017-01-16T08:45:43","date_gmt":"2017-01-16T13:45:43","guid":{"rendered":"http:\/\/countingpips.com\/?p=100856"},"modified":"2017-01-16T08:25:27","modified_gmt":"2017-01-16T13:25:27","slug":"short-term-trading-idea-fx-usdcad-bear-speculation-break-in-the-trend-line","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/01\/short-term-trading-idea-fx-usdcad-bear-speculation-break-in-the-trend-line\/","title":{"rendered":"Short-term trading idea: FX USD\/CAD \u2013 bear speculation: break in the trend line"},"content":{"rendered":"
January 16, 2017<\/div>
\r\n<\/div><\/div>

By\u00a0Gabriel Ojimadu, Alpari<\/strong><\/p>\n

Trading opportunities for currency pair:<\/em><\/strong> there\u2019s been a break in the trend line on the daily graph. Despite the hammer that\u2019s formed, the USD\/CAD rate is expected to fall to 1.2815\/20 by 8th<\/sup> February, 2017.<\/em><\/p>\n

There is a risk that the rate will head up in accordance with the hammer candle formation. Due to this it isn\u2019t worth rushing to sell the dollar. Monday is a holiday in the US, so we may see a false movement upwards. Leave the daily stochastic to off load and switch into the sell zone. It would be ideal if the price keeps trading below the trend line. If it closes above it we can expect a renewed weakening of the dollar. Before any sharp fall, a flat in the range of the hammer should form.<\/em><\/p>\n

Current situation<\/em><\/strong><\/p>\n

The USD\/CAD has fallen from its 1.3599 to 1.3029. It\u2019s worth noting that a double top has formed near 1.36. A break in the trend would confirm the formation.<\/p>\n

The departure from channel 1 took place the day after Trump spoke. A break in the trend line and a fall of the rate to below the 1.3080 minimum from 14th<\/sup> December, 2016 has forced me to make a forecast for a drop to 1.2815\/29 by 8th<\/sup> February, 2017.<\/p>

\r\n
\r\n

Free Reports:<\/p><\/div>\r\n

\r\n

<\/a>\r\n\t Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p>

\r\n
\r\n
\r\n

<\/a>\r\n\t Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p>

\r\n<\/div>\r\n

\r\n
<\/div>\n

Due to the hammer it was difficult to make such a decision. The hammer is a bull signal, but it doesn\u2019t come off all the time. For it to be cancelled, the price should close off the hammer\u2019s shade within three days.<\/p>\n

The USD\/CAD rate has restored from 1.2416 to 1.3588 via a W-shaped pattern. I\u2019m not excluding a large W-shaped pattern forming from 1.3588. Due to this, there\u2019s no point rushing to sell dollar. Monday is a day off for the US, so we could see a false upwards movement.<\/p>\n

Now to why I chose 8th<\/sup> February for the forming of the minimum. During the upward correction, the minimums formed in 40 days. If we add 40 days to 14th<\/sup> December we end up on 8th<\/sup> February. If the dollar doesn\u2019t make it to 1.2820, according to my data an inversion should coincide with the date.<\/p>\n

Graph from 2016 to see the full set up for the USD\/CAD on the daily graph<\/a><\/p>\n

\"\"<\/p>\n

Source: “Short-term trading idea: FX USD\/CAD \u2013 bear speculation: break in the trend line<\/a>“<\/div>\n
<\/div>\n
<\/div>\n
<\/div>\n
<\/div>\n
<\/div>\n","protected":false},"excerpt":{"rendered":"

By\u00a0Gabriel Ojimadu, Alpari Trading opportunities for currency pair: there\u2019s been a break in the trend line on the daily graph. Despite the hammer that\u2019s formed, the USD\/CAD rate is expected to fall to 1.2815\/20 by 8th February, 2017. There is a risk that the rate will head up in accordance with the hammer candle formation. […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-100856","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100856","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=100856"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100856\/revisions"}],"predecessor-version":[{"id":100857,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/100856\/revisions\/100857"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=100856"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=100856"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=100856"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}