Time to Short EUR/CAD?

Trading Systems
1

Hi All,

I’m working on trying to trade Daily Charts without any indicators. Attached is the Daily Chart of EUR/CAD. If I’m not mistaken, the price for the last few days seems to be stalling at the 50% Fib (I drew my Fib line from the High of 1.6000 on Nov. 30, 2009 to the low of 1.2450 on June 10, 2010).

Also, it looks as though the following candle formations indicate a reversal:
3 of the past six Daily Candles were some form of Doji Candle, with today’s close looking like it will be a Gravestone Doji, all indicating indecision or reversal.

Would I be correct in this interpretation? If so, what does anyone thing of putting a Short Entry at 1.3900 (first round number below the current support) and take profit at 1.3700 (just above previous resistance), say, with a Stop Loss at 1.4000?

Any comments are appreciated, thanks!

EUR_CAD_1.jpg700×438 39 KB

2

With all the bailouts in the eurozone, the apparent impossibility of bailing out spain, and all this talk about splitting up the euro, it sure seems like a sure thing to bet against the euro.

3

Stagecrew

Would you regard the latest candle to form on the EURO/CAD as a shooting star type? or do you feel the body of the candle is too big? I was thinking of shorting this but feel the body of the candle is too big for my liking (and the upper shadow not big enough)