EURCAD 130 Pips Banked:
Another 120+ Pips To Go !
Mon 5th June 2023 : Daily Forex Price Action
Today we’re looking at Trading Setups in:
- EURCAD (Primary Focus Pair)
- CADCHF (Covered In Video)
- CADJPY (Covered In Video)
Primary Focus Pair: Trade Plan & Details
Details:
Our live forex strength vs weakness tables continue to highlight EURCAD as a currency pair to watch for further selling opportunities.
CAD tops both our tables today, largely due to an upcoming Bank of Canada interest rate decision.
Last Tuesday 30th May we spotted a short opportunity on EURCAD from a resistance level of 1.4525.
This position has led us to banking a 130 pips move, with another 120+ pips to go if price can trade lower still.
Sellers could be targeting key support at 1.4250 which holds confluence with a daily 200 moving average just below.
A daily 200 moving average can often be a magnet for price and a profit target for large institutional traders.
Traders could be looking for two types of opportunities to form on this pair.
The first would be to wait for price to pull back to key resistance levels such as 1.4525 or 1.4500.
A second opportunity could form if the selling momentum is aggressive enough, it will create a short term consolidation pattern.
If it breaks sellers can short on a breakdown trading opportunity.
