USD/CAD: False Break And A Double Botton Triggered
Martin Janson | Jan 19, 2017 05:19AM ET
USD/CAD H4
After testing the the original breakout low at 1.3030 the rate turned around and rallied back inside the previously broken rising channel thus creating a small double bottom formation.
It has also broken the short term falling trendline resistance, therefore my immediate bias is now higher.
I will be waiting for a pullback towards the broken double bottom neckline at 1.3175 to confirm the channel support is holding once again to target a possible move towards the channel resistance around 1.3570.
A break back below the neckline would invalidate my immediate bullish bias, however, only a daily close below yesterday's lows would turn me bearish on the pair again.
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