AUD/CAD: Ichimoku clouds 03 April 2018, 08:40

AUD/CAD: Ichimoku clouds

03 April 2018, 08:40

Scenario
Timeframe	Weekly
Recommendation	SELL STOP
Entry Point	0.9860
Take Profit	0.9800
Stop Loss	0.9915
Key Levels	0.9900, 0.9920

Alternative scenario
Recommendation	BUY STOP
Entry Point	0.9915
Take Profit	0.9970
Stop Loss	0.9860
Key Levels	0.9900, 0.9920

Let's look at the four-hour chart. Tenkan-sen line is below Kijun-sen, the lines are horizontal . Confirmative line Chikou Span has crossed the price chart from below, current cloud is descending. The instrument has broken through Tenkan-sen and Kijun-sen lines. The closest support level is Kijun-sen line (0.9900). The closest resistance level is the upper border of the cloud (0.9920).



On the daily chart Tenkan-sen line is below Kijun-sen, the red line is directed downwards, while the blue one remains horizontal. Confirmative line Chikou Span has crossed the price chart from above, current cloud is ascending. The instrument has entered the cloud. The closest support level is the lower border of the cloud (0.9860). The closest resistance level is the lower border of the cloud (0.9915).

On the four-hour chart we can see a correction of the downward movement. On the daily chart the instrument is trading within the cloud. It is not recommended to open positions at current price. Pending orders should be placed at the cloud’s borders: sell at the level of 0.9860, with Take Profit at 0.9800 and Stop Loss at 0.9915; buy at the level of 0.9915, with Take Profit at 0.9970 and Stop Loss at 0.9860.