EURCAD MARKET ANALYSIS

 Happy New Year Chase Capital fam I hope y'all had an amazing festive season and a great start of the year 2025. It's a year with great opportunities that should be well utilized. Into the markets today my first trade for 2025 I am looking into EURCAD. Price broke below a major H1 & H4 demand zone 1.48875 & 1.48450 forming lower lows on H1 & H4 at 1.47700. Price retraced back to retest the broken demand as new supply before a potential continuation of the drop lower. Price rallied back into the zone at 1.48875 then formed candle closes inside the zone followed by a H4 bearish engulfing candle with candle closes below the zone. Took sell positions during London session at 1.48930 with SL at 1.49200. Setup taken is a rally base drop, a reversal setup and my 1st target is at 1.47480 before price either reverses or breaks below and drops lower to the next major H4 & daily demand zone.

Price failed to break below 1.48850 and instead reversed and rallied higher to the next H1 high at 1.49380 hence hitting my SL, taking out my positions and invalidating my setup. Price failed to break above the H1 high and instead reversed dropping back into supply showing a potential bearish reversal. Price dropped below supply confirming a shift in market structure to bearish. Price formed lower lows at 1.47950 then retraced to retest supply at 1.48500 before a continuation of the drop lower. Price dropped 180 pips and formed lower lows at 1.47500 and closed the week at 1.47730.