BabyPips.com FX-Men Team
BabyPips.com
USD/CAD: 4-hour
Anybody gutsy enough to take a countertrend trade? Feast your eyes on this rising channel setup on USD/CAD’s 4-hour forex chart since the pair is already finding resistance at the top of the range. If you think the downside momentum will stay in play, you could short on a break of the mid-channel area of interest around the 1.3300 major psychological mark. But if you have enough reason to believe that the longer-term climb will resume sooner or later, you could wait for a bounce off the channel support at the 1.3150 to 1.3200 area or the moving averages. Stochastic is moving close to the oversold region anyway, hinting that buyers could get back in the game later on, while the 100 SMA is still above the 200 SMA.
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