An interesting Megaphone (or Broadening Triangle) chart pattern appeared at the USD\CAD 30-min chart. This is generally a reversal pattern which suggests that a bearish trend is about to begin. It may also turn out to be a Diamond chart pattern which is one of the strongest reversal chart patterns ever. If this is the case we will enter a short trade on the upper trend line of the diamond, and will enter a short trade in a breakout of the pattern.

After a strange-looking Double Bottom, price has broken the trend line and created a very accurate pullback combined with a morning star candlestick pattern that is a very strong long signal. You can enter right now with stop loss below 127.306. Price has already reached the projected target, but it may do that again so a long signal may be a good trade.