Head & Shoulder pattern seems nearly completed on EURCAD, the only thing that remains is for the neckline to break. Should this happen, we can likely expect this pair to head south on a smooth path which has very little to no resistance present!
For this setup to be become valid, we require both weekly and monthly candle to close below our marked demand zone/support/neckline. By doing so, the probability of false breakout diminishes further and would give an added boost to our trade direction. Once this happens, the ideal target is marked on the chart, which is an upcoming demand zone/support where the price will likely head. The stop loss should be placed above swing high as usual with a RR of 1:1.
Note: This is just an analysis/view and not a trade signal. Once if the criteria is met, trade details would be posted in a separate post. Lets see what happens. Cheers
For this setup to be become valid, we require both weekly and monthly candle to close below our marked demand zone/support/neckline. By doing so, the probability of false breakout diminishes further and would give an added boost to our trade direction. Once this happens, the ideal target is marked on the chart, which is an upcoming demand zone/support where the price will likely head. The stop loss should be placed above swing high as usual with a RR of 1:1.
Note: This is just an analysis/view and not a trade signal. Once if the criteria is met, trade details would be posted in a separate post. Lets see what happens. Cheers
