Forex Price Action and Ichimoku Setups Oct. 6th
USDCAD – Strong Rejection after Impressive Run
After hitting a yearly low of .9400, the pair has gone on an impressive run 1250pips north hitting a yearly high of 1.0650 in a matter of two months. Now for the first time in over 60 days has the pair recorded 3 days of straight selling. One can clearly see the pinbar rejection off the 1.0650 level. What should be noted is how the next day, the pair started off climbing higher only to sell off and close towards the lows. We expect the pair to continue selling to the 20ema which also has the 50% fib of the last major upswing parked there as well. If this level holds, look for price action triggers to continue the uptrend. A failure here suggests further losses to the .9975 region where the former 1.5mos. major resistance could act as support for another run higher.
Spot Silver – Attempting to Break Kumo Flat Top
After being victim to the latest CME margin hike selling from $40 to key support at $26, the shiny metal has appeared to formed a base at the $29 range. Now it is attempting to break the Kumo Flat Top which also houses the 50% fib of the aforementioned move so this could attract price to it. It is also key resistance from the initial bounce after the massive sell-off and technical models will be wanting to see this level cleared before fresh buying is inspired. Watch this fib/Kumo Flat Top for a rejection but should price break and close above it, it could be a launching pad for another run higher.
For those of you looking to trade advanced pinbar setups, or our Ichimoku TKx systems, make sure to check out our Advanced Price Action or Advanced Ichimoku Courses where we teach rule-based systems for trading pinbars and Ichimoku.
Also make sure to check out this great video on The Ichimoku Cloud
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