USD/CAD has come down significantly during this week, currently, the pair is trading at 1.3165 and has a further downside. The immediate support is at 1.3133 while the 1.31000 is a strong support level. The intraday resistance is at 1.3180 another resistance is at 1.3215 area.

The pair is keeping below the moving averages, the SMA-21 indicates a resistance area at 1.3266 and the SMA-50 indicates resistance at 1.3226. The RSI line has gone down to 42 and may enter in a further bearish zone. The MACD is below the zero line and supportive of the bears. Meanwhile, the mid-Bollinger band is at 1.3271 while the lower Bollinger band support is at 1.31179. Currently, the intraday price pattern is strongly bearish and favors sell entries. A decent selling level would be near 1.3170 with a target of 50 to 60 pips. A tight stop-loss for this trade would be just above the 1.3200 resistance area.

Bears need a weekly closing below 1.3100 to take the pair further lower in the coming week. On the upside, only a weekly closing above 1.3260 would provide some support to the bulls.

close

Get notified when there is a new post. Read new post to earn 10 points!

1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

Rate an article for points!

By LCMS Traders FX Analysis Team

You will get access to our "Getting Started Tutorials" where you will learn the trading methodology devised by the LCMS Traders Team who uses the same exact methodology to trade a Multi-Million Dollar account on a daily basis.

Leave a Reply

Your email address will not be published. Required fields are marked *