Vladimir Ribakov analyzes GBP/CAD on the daily and 4-hour charts, identifying a bullish divergence where the MACD and RSI show higher lows while price shows lower lows. He outlines two scenarios for a corrective bounce toward a key volume zone before the pair potentially declines further.
Chapters
Hello traders, how are you? Vladimir here from Traders Academy Club. In this video, I would like to share my analysis on pound CAD and to follow up on what we started on the week— the latest weekly forecast. Before we go to the charts and talk about all the technical things and the follow-up, what do I expect from the price uh, to do next and why. If you are new to this channel, welcome to our fantastic community. Uh, please subscribe with the subscribe button below this video, and I also invite you to join us in our trading family, Traders Academy Club, and enjoy from, as you can see on this very image, full free VIP price action course, real-time trading opportunities, real-time trading education supportive trading community during all the week. So join our family with the link below this video in the description. So what do we have here on the pound CAD? Uh, as I started the fall, the idea, uh, on the weekly forecast, which if you missed, you can find the video directly in this channel, uh, it was published on the last weekend. So the idea was, uh, as simple as that. Look for bullish opportunity and continuation. The analysis standing behind it is the following. Watching the, um, starting from the weekly time frame, we had a ride on the lower Bollinger Bands of the weekly time frame, more than 20 candles on the lower bands without pulling back to the middle. What happens there is that we reach a slowdown divergence on the histogram. So we do have lower lows in the chart and the histogram starts to create higher lows. Usually this is a sign of a bearish slowdown momentum, and that's why my anticipation is that we are heading towards some corrective movement before very likely later on the price would push down again. But it's very likely that it will take some time until then. So taking that and going to the next time frame on the daily chart, at the end of this massive, uh, bearish movement, we came to the place where the market creates a long divergence. Started all the way from here, okay? Higher lows on the moving average of the MACD versus lower lows on the indicator— on the price. And also RSI showing higher lows against the lower lows on the chart. This is a classical condition for bullish divergence. And what happens next was the 4-hour chart completing a false breakout right here. 2 in a row fake lows. Okay, all that followed by bullish divergence by itself on the moving averages of the MACD. So that's why my view was bullish here. And now, as we break above this high, there are 2 scenarios I would expect from the, from this pair. Of course, assuming the bullish momentum would remain the one that controls, there are one, there are 2 scenarios I would follow. The first, an ideal scenario, is the pair goes and completes 3 higher highs, higher lows on the daily chart. on the 4-hour chart, sorry, to complete the first daily bullish leg, then pullback and another rally, ideally towards the previous swing highs, to complete a beautiful bullish corrective movement. The second possible scenario is a zigzag— 2 waves up, 2 waves down, and then a break above the corrective structure should be the one that opens the doors for the next rally again, uh, to this zone. Also very important to mention why specifically is this zone and why do I really have that marked here. So as you can see, this is a daily key trading volume zone based on this indicator that you see here, which by the way you can download absolutely free below this video in the description. You can actually download both indicators there. Uh, the Virtual Trading Pen— this is the tool I draw on my MetaTrader with— and the Key Trading Levels based on the Volume Profile. Both indicators are available for you below this video in the description. Just follow the links there, download, install, and enjoy them. So as you can see here, we can clearly, clearly see a beautiful daily volume, also 4-hour chart volume, as you can see on this pink histogram. That is why this would be for me as ideal final target zone for this bullish journey. Again, of course, assuming the analysis is correct and the buyers would indeed take the control. Let me know what do you think about the pound CAD. Do you enjoy this rally already? And how would you see this pair and why? And for any questions and of course for any feedback from you, Please do it below this video. I would very much appreciate your feedback in the comment section, and if you hit this like button below the video, and your help is very much appreciated, of course. So that's it for this video. For any questions, feel free to contact me in the comment section below. And once again, welcome to our trading family, Traders Academy Club. To join us. Just follow the link below this video, uh, in the description. So thanks for your time watching this video. I'll see you soon with more trading ideas and more interesting content I have to share. All the best, see you soon.
