We’ve got a potential bullish breakout developing on the EURCAD pair this session.
The market has developed a bullish flag pattern after a recent strong upward rally. These flag patterns are created when a short-term counter trend, trend line develop acting as a barrier to further upward development.
If we get a candle close beyond the flag, we could see the next move into higher highs.
We’ve also got a support level here encouraging bullish price action, and we can see there is a bullish rejection candle developing off the level also.
If we don’t get the flag break this session we still may be left with an end of day reversal signal also.
Steve Epperson
Sorry Sensei, I pulled the trigger on this one already. 1) On the weekly chart, I saw a support line broken and then a break back through new resistance. 2) Bullish rejection candle breaking above old support. 3). Downtrend may be getting a bit worn. I smelled a breakout. What I didn’t realize was the “flag pattern.” Very cool. Hope it works out. Don’t worry, If I lose this one my kid still gets to eat supper.
Us white-belts may be a bit eager to punch. But, if I get a fat lip on this one, I’ll chalk it up to one more trade I can learn from. Let you know what happens and how much $$ I made.