Thursday, April 9, 2015
USD/CAD Stop-hunting trade opportunity!
Reversal candle patterns are very effective if they coincide with a previous extreme price levels from the recent past. This USD/CAD trade happened right at the previous low (1.24291) from March 25th (green arrow). On the first chart I have marked the two reversal candle patterns(orange arrows) that I used as an entry point to go long the USD/CAD pair. I placed a take-profit order at the 1.2574 area, which was a previous turning point in the market where price made a very strong move down. In my experience, price gravitates to these extremes on a regular basis, so a good place for trade entries and exits.
