1
$CADUSD approaching prior resistance, potential for reversal
Watching $CADUSD here, seems to be pushing up against a prior area of resistance around 0.7140. We hit 0.71413 earlier today, but I'm looking at the candles around that level for signs of rejection. If we fail to establish above 0.7145 convincingly, especially on higher timeframes like the 4H or daily, I'd consider that a signal for a potential reversal back down towards 0.7100. The risk, of course, is a clean break and hold above 0.7150, which would likely open the door to 0.7180 or even higher, invalidating the short-term bearish bias I'm contemplating.
3 comments · 1 points
That's a good observation. What makes that particular resistance level significant to you? Is it just a price point, or are there other confluences like Fibonacci or moving averages you're watching there?