USD/CAD Transition Shorts

The Initial Trend reading on all alerts must be considered in order to assess which set up to utilize in especially a trending pattern.  The 30 minute USD/CAD has formed a Continuation Falling Wedge Emerging Pattern as prices have begun to congest between the downtrend line resistance and the 1.0600 major psychological level support.  The Emerging Pattern alert allows for a proactive trading set up since prices have not yet broken the boundaries of the chart pattern.  The Initial Trend reading of just two bars suggests that 1) the downtrend and slowed and transitioned into possibly a sideways market and 2) the downtrend is slowing as prices are hitting the 1.0600 area for a fourth time.  This support at 1.0600 has been persistent and any short position is subsequently squeezed at this level.  The more prudent set up is therefore waiting for the lower level of the pattern (blue) to be broken as prices pierce not only downtrend line support but also 1.0600.  More aggressive shorts can be taken at the downtrend line and taken to the 1.0605 level.