NZDCAD Trade Analysis - Trade #6

Dear Traders,

Today, we're focusing on our sixth trade opportunity: NZDCAD. This pair previously delivered an excellent trade a few weeks ago (I will include the link to that trade).

Currently, NZDCAD appears poised for another significant move.

Weekly Timeframe:
The price has moved from a strong support level at 0.83850 and broken into the next key range at 0.82750. However, it's now rejecting support at 0.81500 and has closed bullish. Despite this, I believe the bullish momentum may not be strong enough, and that the prevailing monthly bearish momentum could push the price below the trendline.

Daily Timeframe:
On the daily chart, the price is clearly making lower lows and lower highs. We observed a spike during the pre-London session, which was subsequently rejected. A strong bearish candle close would be ideal on the daily chart. At present, I am satisfied with how the price action is developing, and I do not see any compelling reason for a higher push.

H4 Timeframe:
On the H4 chart, we see a shift towards a bearish trend. The price has transitioned from making higher highs and higher lows to forming a new lower low, although a new lower high has not yet been established.

I am now awaiting entry confirmation on the H1 timeframe to enter a short position.

Happy trading,

Renaldo