Crude oil need to go up and US dollar need to weaken, we can't ignore the fact that cad weakness began after BOC's rate decision and when it became clear that the monetary policy statement hasn't maintained its hawkishness.
Most traders would be short as they see see on the left and find good supply zones, but it can be a tedious sideways price move and unwarranted spike above 1.34 before it decides to move down. Hence , a lot of patience might be warranted unless it doesn't turn to be a straight forward technical drop.
My strategy would be to see a close below 10 ema on 4 hr and retest with failures before taking on this trade, the timing is key here as a mistiming would mean lost opportunity and unnecessary swaps
Most traders would be short as they see see on the left and find good supply zones, but it can be a tedious sideways price move and unwarranted spike above 1.34 before it decides to move down. Hence , a lot of patience might be warranted unless it doesn't turn to be a straight forward technical drop.
My strategy would be to see a close below 10 ema on 4 hr and retest with failures before taking on this trade, the timing is key here as a mistiming would mean lost opportunity and unnecessary swaps
