Three Trade Setups for today: GBPCAD ABCD potential reversal zone rebound. AUDNZD bullish breakout and Crude Oil cluster of moving averages form resistance.
Trade Setup 1: GBPCAD Rebounding
I mentioned this Weekly ABCD pattern potential reversal zone several times before. The price started the rebound and today, it completed a head and shoulders bullish trend reversal pattern formation on the daily chart.
I look for further upside and am willing to long any downside pullback towards the broken neckline of the head and shoulders pattern at 1.6230. Targeting 1.6430 swing high followed by the 38.2 retracement level, which also resides near the main weekly horizontal resistance around 1.6600 area.
Trade Setup 2: AUDNZD Breaking Out
AUDNZD has completed multiple breakouts recently. Starting from the falling wedge pattern, Followed by the 200-day simple moving average, and finally a long-term falling trend line.
I am looking to long on any downside pullback. Key levels I will be watching if we get a pullback are 1.0580 and 1.0545. Targeting 1.0700 areas.
Trade Setup 3: Crude Oil at Confluence
Crude Oil tested the confluence of 200 and 50 days simple moving averages, in addition to the near-term falling trend line, and was rejected. The price formed a shooting star reversal candlestick pattern at that resistance cluster.
I will be betting on a downside move towards 53.77 as a first target, and ultimately the main support level at 50.60.