USDCAD has cleared out the tech once again as it smashes thouhg the H4 moving averages
Another big Canadian event and another big move in USDCAD. To be honest, this is how currencies used to move years ago. Enough of the sentimental crap. We’ve been up to 1.2786 and I’ve seen that this area is a former S&R level so it’s not a surprise to see it pausing here again. We’re now up 130 odd pips and that’s the sort of number I’d be thinking about this type of move running out of legs.
We’ll obviously find additional reseistance around 1.2800, should we continue up, and then we meet another old advisary at 1.2820/30. Get over there and we can think about a move on 1.2900. But, let’s not get ahead of ourselves. For this rally to continue ot needs to shore up it’s foundations. 1.2775/77 is where support is building now but that’s very close to the current price so may not hold much at the moment. The 4$ MA’s down at 1.2755/56/57 will need watching again. Below 1.2750 we’ll have to see how things develop.
And, as I type, we’ve taken another jump to 1.2793, so watch for a new batch of support forming, or moving up to 1.2780 now. Funnily enough, 1.2789 was my first entry on Friday. How times change in markets eh?
I’m going to admit that I’m quite chuffed with myself for staying in this trade after being so far offside for so long. I has been a mental battle between what the disciplined side of me was saying, and what my gut and experience was saying about the possible outcome. I’ve been right next door to hell on this trade and I don’t mind admitting to being chuffed that it’s come good. I’m moving my stop up as we go so I can protect as much as possible, and I’m running this for all it’s worth.