The US Dollar continued to enjoy nice gains against a basket of currencies, including the Canadian Dollar. The USDCAD pair surged above the 1.2450 resistance area, and might spike one more time before it reverses. There was a monster resistance at 1.2450, which was breached earlier. If the mentioned break was a false one, then we could witness a nice bearish reversal in the short term. There is a crucial event in Canada, as the BOC interest rate decision is lined up, which might ignite swing moves in USDCAD.
Technical Analysis
Daily – Critical bearish trend line on the daily chart, plus a bearish divergence.
Daily – Monster resistance around 1.2460-1.2500.
Entry:
H1 – We can enter a sell trade for the USDCAD pair once the pair fails below 1.2440, settles below it and retest in two waves.
Target 1: 1.2340
Target 2: 1.2310
Stop Loss: A 4H close back above the 1.2450 resistance area.
Video Explanation:
Yours,
Vladimir
Hi Traders! Arvinth here from the Home Trader Club team. The weekly summary and, review of December…
US stocks futures held gains as Asian and European equities set the pace on Thursday,…
Hi Traders! US Dollar Index short term forecast and technical analysis is here. We do…
Hi Traders! Dow Jones short term forecast update and follow up is here. On October…
Hi Traders! EURNZD short term forecast and technical analysis is here. We do our analysis…
Hi Traders! Silver short term forecast update and follow up is here. On October 15th,…
