⏳📈 "AUDCAD Analysis: Past Review & Future Outlook" 📊📝
💹 Let's review the analysis of the AUDCAD currency pair that we did together some time ago and examine the possible positions.
📊 In higher timeframes, like other forex pairs, we are still within a range and merely oscillating in a long-term box, which provides suitable trends for us in shorter timeframes.
📝 In past analysis, we mentioned that after breaking the downtrend line and the trigger line, confirming bullish candles, you could open a long position. After breaking the trigger line and observing the confirming bullish candle, which showed buyer strength at its lower shadow, we opened our long position.
💰 You could have placed your stop loss behind the candlestick for a riskier approach, but for peace of mind, we placed our stop loss at a lower level. According to Dow Theory, we will wait for our risk to reward ratios, which the market delivered by giving us a 1 - 4 risk to reward ratio. Hopefully, you made a good profit.
🌟 Now, let's analyze the current market and potential setups.
🔄 In this same timeframe, after an uptrend, we encountered a significant daily resistance line at 0.90549. Breaking this line could provide us with a suitable long position, but be sure to place your stop loss logically because breaking upper timeframe resistances won't be easy or smooth.
🔑 Before passing this resistance, I moved my line lower and considered the range we once moved above as fake. But how?
📈 If you are a struggling trader and sometimes can't determine your line's position due to fake ranges, simply go one timeframe higher and see if the candle managed to close above your resistance line or not. Here is where the line 0.90549 is or isn't, and in the one-hour timeframe, it will be the best position for your resistance line.
📉 For short positions, due to being in a range in higher timeframes, we can't consider trend reversal much and just bring our risk down for opposite-direction positions and quickly take profit and exit the position. Therefore, after breaking the 0.90173 line, you can open your short position. I suggest placing your stop loss small and risky so that if your stop loss is hit, you won't miss the long position after breaking the 0.90549 line.
💡 The upcoming support levels are 0.89702, 0.88951, 0.88484, and the resistance levels are 0.91040, 0.92073.
😊 If you'd like me to analyze a specific coin or currency pair, be sure to comment so that I can allocate the next analysis for you!
⚠️ Also, please remember that I'm just an analyst, and this isn't financial advice. We're here to stay in the market and maximize profits by adhering to risk and capital management principles.
📊 In higher timeframes, like other forex pairs, we are still within a range and merely oscillating in a long-term box, which provides suitable trends for us in shorter timeframes.
📝 In past analysis, we mentioned that after breaking the downtrend line and the trigger line, confirming bullish candles, you could open a long position. After breaking the trigger line and observing the confirming bullish candle, which showed buyer strength at its lower shadow, we opened our long position.
💰 You could have placed your stop loss behind the candlestick for a riskier approach, but for peace of mind, we placed our stop loss at a lower level. According to Dow Theory, we will wait for our risk to reward ratios, which the market delivered by giving us a 1 - 4 risk to reward ratio. Hopefully, you made a good profit.
🌟 Now, let's analyze the current market and potential setups.
🔄 In this same timeframe, after an uptrend, we encountered a significant daily resistance line at 0.90549. Breaking this line could provide us with a suitable long position, but be sure to place your stop loss logically because breaking upper timeframe resistances won't be easy or smooth.
🔑 Before passing this resistance, I moved my line lower and considered the range we once moved above as fake. But how?
📈 If you are a struggling trader and sometimes can't determine your line's position due to fake ranges, simply go one timeframe higher and see if the candle managed to close above your resistance line or not. Here is where the line 0.90549 is or isn't, and in the one-hour timeframe, it will be the best position for your resistance line.
📉 For short positions, due to being in a range in higher timeframes, we can't consider trend reversal much and just bring our risk down for opposite-direction positions and quickly take profit and exit the position. Therefore, after breaking the 0.90173 line, you can open your short position. I suggest placing your stop loss small and risky so that if your stop loss is hit, you won't miss the long position after breaking the 0.90549 line.
💡 The upcoming support levels are 0.89702, 0.88951, 0.88484, and the resistance levels are 0.91040, 0.92073.
😊 If you'd like me to analyze a specific coin or currency pair, be sure to comment so that I can allocate the next analysis for you!
⚠️ Also, please remember that I'm just an analyst, and this isn't financial advice. We're here to stay in the market and maximize profits by adhering to risk and capital management principles.
