NZDCAD 4H Short Position Channel Resistance Bounce
NZDCAD's price action is approaching ascending channel resistance. Bearish oscillator divergence (higher high, lower high) makes me believe that price action will reverse and continue to break below channel support.
Once it hits resistance, I will enter a short position on a bearish engulfing candle. My short entry is .9700 with a stop loss at .9780 and a first profit target of .9595 for a 1:1 trade. If price action continues lower, I will hold a partial position and possibly add at the break of the .9575 horizontal level for a continued move downward.
Once it hits resistance, I will enter a short position on a bearish engulfing candle. My short entry is .9700 with a stop loss at .9780 and a first profit target of .9595 for a 1:1 trade. If price action continues lower, I will hold a partial position and possibly add at the break of the .9575 horizontal level for a continued move downward.