AUD/CAD has lost around 9,000 pips over the past year and is currently trading at the lows of October and this year - 0.91.
Traders can provoke a false breakout by doing this strategy:
As presented in the chart, a false breakout could occur if we place buy limits from 0.91 and below, with an increment of 500 pips. Take profit on the breakout of 0.91, or at 1 pip above the first order.
This strategy is called grid trading, which is usually used on cross rates. It involves holding positions that are significant in time and distance. For this reason, it is recommended to use swap-free accounts, not increase the volumes in the grid (0.01 standard lot for every $ 1000 of the deposit) and monitor price movements.
Good luck and have a nice day!
