USDCAD: A Run Into Resistance w/RSI Overextended

Keeping a close eye on USDCAD this morning as price action makes it's way into previous structure resistance. I like to call these areas of the market "Decision Points" because depending on how price action reacts at this level, I'll know whether to look for a long or short opportunity.

If you take a look at the RSI we've become massively overextended (above the 80 mark). This DOESN'T mean a reversal is on the way, but it's certainly something that we can use to help build a case when combined with other factors.

Unless we get a higher high higher close above resistance I'll be looking for a short to add to my current GBPJPY & EURJPY long positions.

Hope this was informative traders!

Kommentera:

Double top invalidated. No longer looking for Shorts on this Pair.