AUD/CAD – Long Setup Analysis (1H Chart)Australian Dollar vs Canadian Dollar, bet in 1 GBP per (0.0001)PEPPERSTONESB:AUDCADdimitarmanolovvMarket Structure The pair has been in a clear downtrend, forming lower highs and lower lows. However, the current price action shows the market rejecting the lower boundary of a descending channel (marked by the yellow dotted lines). The most recent candle cluster suggests buying interest stepping in around 0.9100–0.9103. This area acts as: •A short-term demand zone, shown by multiple rejections. •A reaction point within the channel structure. This makes it a logical place for a potential long position. The setup anticipates that price will: 1.Hold above the lower channel boundary. 2.Push upward into mid-channel structure. 3.Eventually test the upper channel resistance. The green projection path on your chart reflects a likely stair-step bullish retracement within the overall channel. Take Profit Levels 📍 TP1 – 0.91535 This level aligns with: •Mid-channel structure •A minor resistance zone visible from earlier consolidation •A logical place for partial profits, as price often reacts here before continuing Reaching TP1 would confirm the bullish momentum and strengthen the case for TP2. 📍 TP2 – 0.91700 This is positioned directly at the upper boundary of the descending channel, making it a strong, confluence-based target. Reasons it’s a high-probability profit zone: •It aligns with the projected bullish leg of the move. •It matches previous reaction levels shown on the chart. •Channels often cause strong reactions at their extremes. This would represent the full realization of the long setup. Stop-Loss Placement The stop is set below: •The nearest swing low •The lower channel boundary •Local demand zone This protects the setup in case price invalidates the bullish scenario. Risk/Reward The trade offers a favorable R:R structure: •TP1 creates a safe, conservative exit point. •TP2 provides extended upside with channel confluence. Given the clean structure and defined invalidation, the setup is technically sound.