Good morning traders, today we will analyze the USD/CAD pair, both on a Daily Chart and a 4H chart to show you a bullish opportunity that we have detected.
🔸The price bounced off from a Weekly Demand Zone, and has been consolidating for several days without a clear trend.
🔸We can see that there was a break of the bearish channel, which is a bullish signal.
🔸If we consider the break + the bounce in the weekly zone, there is a possibility that we will see a bullish impulse in the short term.
🔸In order to better appreciate the situation, we decrease the timeframe to 4H and draw the corrective pattern that the price is forming.
🔸It seems to be a kind of triangle that is not finished yet, so we think it would be safe to wait for a clearer formation.
🔸Once completed, we should wait for a strong breakout in the bullish direction.
🔸The target of the move is the next resistance zone.
🔸The price bounced off from a Weekly Demand Zone, and has been consolidating for several days without a clear trend.
🔸We can see that there was a break of the bearish channel, which is a bullish signal.
🔸If we consider the break + the bounce in the weekly zone, there is a possibility that we will see a bullish impulse in the short term.
🔸In order to better appreciate the situation, we decrease the timeframe to 4H and draw the corrective pattern that the price is forming.
🔸It seems to be a kind of triangle that is not finished yet, so we think it would be safe to wait for a clearer formation.
🔸Once completed, we should wait for a strong breakout in the bullish direction.
🔸The target of the move is the next resistance zone.