FX.co ★ BabrSheer | USD/CAD

USD/CAD Live Market Trading Analysis & Trade Setup (3-Minute Chart) The chart shows the USD/CAD on the 3-minute timeframe, where the market structure recently shifted from consolidation to a short-term bearish move. Price is currently trading around 1.3577, approaching a previously marked demand/support zone. Market Structure Overview Earlier in the session, price created multiple Breaks of Structure (BOS) on the upside, indicating bullish momentum. Higher highs and higher lows formed between 19:00 and around 20:30, confirming buyers were initially in control. However, after reaching the 1.3585–1.3586 resistance area, the bullish momentum weakened. The market began forming lower highs, which is an early sign of a potential trend shift. Around the 00:00 session, strong bearish candles pushed price downward, breaking minor intraday support levels and confirming short-term bearish pressure. Currently, price is retesting a key demand zone between 1.3574 and 1.3577 (highlighted on the chart). This area previously acted as a base where buyers entered earlier in the session. Because of this historical reaction, the zone could attract liquidity and produce a short-term bounce. Key Levels to Watch Resistance: 1.3583 – 1.3586 Immediate Support: 1.3574 – 1.3572 Lower Liquidity Target: 1.3568 – 1.3565 Bullish Trade Setup (Primary Scenario) If price holds the demand zone and forms bullish confirmation such as a strong rejection wick, bullish engulfing candle, or minor structure break on the lower timeframe, a long setup becomes valid. Entry: 1.3575 – 1.3576 Stop Loss: 1.3571 (below the demand zone) Take Profit Targets: TP1: 1.3580 TP2: 1.3583 TP3: 1.3586 This setup targets a short-term liquidity grab followed by a bounce toward intraday resistance. Bearish Continuation Setup (Alternative Scenario) If sellers push price below 1.3572 with strong momentum, the demand zone will likely fail. A clean break and retest of this level could trigger further downside continuation. Sell Entry: After retest of 1.3572 Stop Loss: 1.3578 Targets: TP1: 1.3568 TP2: 1.3564 Trading Insight The market is currently sitting at a decision point. The demand zone suggests a possible bounce, but the recent bearish momentum indicates sellers still have control. Traders should wait for clear confirmation before entering, especially during lower-liquidity hours. Overall, the short-term bias remains slightly bearish, but a technical rebound from the demand zone is highly possible before the next directional move. ????????