I like to keep my charts as clean as possible. Squiggly lines make my eyes go blurry. At the beginning of April the loonie showed some strength for about a week and then promptly fell into a roughly 100-pip range. Late April saw a false break to the bottom, which was maddeningly and immediately followed by a false break to the top side. So is the bottom breakout for real this time?
(Cop out alert) I have no idea yet. It’s far too speculative, and therefore, dangerous, to put on a position at this level. But, if you are all about the loonie, I’d put a small short on where the last run up encountered its first bit of tension, which looks to me like .94700. Without some other piece of clarifying data or clearer price action, I’d stay away for now. This pair, however, does seem to be gearing up for some fun.
