• Contact Us
  • Homepages
Most Forex
  • For Beginners
  • Strategies
  • Technical Analysis
  • Product Reviews
  • News
  • Videos
No Result
View All Result
  • For Beginners
  • Strategies
  • Technical Analysis
  • Product Reviews
  • News
  • Videos
No Result
View All Result
Most Forex
No Result
View All Result
Home Technical Analysis

USD/CAD Downside Breakouts in Focus

Forex Tips by Forex Tips
August 29, 2020
in Technical Analysis
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter


USD/CAD Technical Forecast – BEARISH

  • Canadian Dollar could be readying to extend gains versus the US Dollar
  • The USD/CAD has taken out long and medium term rising support lines
  • If CAD bounces, keep a close eye on key falling resistance from March

Canadian Dollar Technical Analysis

The Canadian Dollar is looking to confirm key technical breakouts against the US Dollar on multiple time frames. On the monthly chart below, USD/CAD can be seen readying to close under long-term rising support from 2012. While there are multiple barriers to breach further below, September could shape up to be an important month for the pair as it looks to perhaps extend declines over the medium term.

Forex for Beginners

Forex for Beginners

Recommended by Daniel Dubrovsky

Learn how to become a more consistent forex trader

USD/CADMonthly Chart

USDCAD Price Chart

Zooming in on the weekly chart shows that USD/CAD has also taken out medium term rising support from late 2017. Yet a key technical barrier sits below which is a combination of lows from July 2019 and January 2020. This makes for a zone of support between 1.2952 and 1.3015. Ahead, prices may struggle to push through this range should bulls take control.

USD/CAD Weekly Chart

USDCAD Weekly Chart

Now looking at the daily chart, a bounce off support may place the focus for USD/CAD on falling resistance from March – red parallel lines. Should the pair close above, that could open the door to a reversal of what has been the dominant downtrend. In such an outcome, keep a close eye on the 1.3314 – 1.3382 inflection zone. Breaching that range opens the door to testing former support at 1.3486 – 1.3521.

Otherwise, taking out key support at 1.2952 exposes the October 2018 low at 1.2783. On the way there, USD/CAD could encounter support at 1.2879 which is the 61.8% Fibonacci extension. For updates on the Canadian Dollar, you may follow me on Twitter here @ddubrovskyFX.



of clients are net long.



of clients are net short.

Change in Longs Shorts OI
Daily -11% -6% -9%
Weekly 6% -7% 1%

USD/CAD Daily Chart

USDCAD Daily Price Chart

USD/CAD Charts Created in TradingView

— Written by Daniel Dubrovsky, Currency Analyst for DailyFX.com

To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter





Source link

Share76Tweet47

Related Posts

Our data shows traders are now net-short EUR/GBP for the first time since Jan 12, 2021 when EUR/GBP traded near 0.89.

Our data shows traders are now net-short EUR/GBP for the first time since Jan 12, 2021 when EUR/GBP traded near 0.89.

by Forex Tips
April 12, 2021
0

Number of traders net-short has increased by 38.61% from last week. SYMBOL TRADING BIAS NET-LONG% NET-SHORT% CHANGE IN LONGS...

April Opening Range Casts Bearish Outlook for DXY

by Forex Tips
April 11, 2021
0

US Dollar Talking PointsThe US Dollar Index (DXY) attempts to retrace the decline from the earlier this week as...

Australian Dollar Technical Forecast: AUD/USD at Crucial Juncture

by Forex Tips
April 11, 2021
0

AUD/USD Technical OutlookAUD/USD trading below neckline of head-and-shoulders patternNot much more time left for price to negate the patternWeakness...

Retail Investors Buying the Dip?

Inverse “Head and Shoulders” Pattern Hints At Upside Potential

by Forex Tips
April 10, 2021
0

Nasdaq 100 index Technical Forecast: BullishThe Nasdaq 100 index resumed its upward trajectory, aiming to challenge its record highsPrices...

USD/JPY at a Big Spot for Directional Themes

USD/JPY at a Big Spot for Directional Themes

by Forex Tips
April 10, 2021
0

USD/JPY Technical Forecast: NeutralUSD/JPY had a very strong Q1 as the reflation theme drove a bullish trend in the...

Load More

Categories

  • Crypto Strategies
  • Currency
  • For Beginners
  • Forex News
  • Forex Trading Tips & Strategies
  • Investment
  • Technical Analysis
  • Videos
Forex Pulse Detector

Categories

  • Crypto Strategies
  • Currency
  • For Beginners
  • Forex News
  • Forex Trading Tips & Strategies
  • Investment
  • Technical Analysis
  • Videos

Newsletter

  • Home
  • Contact
  • Privacy Policy
  • Store

© 2018 Forex Blog

No Result
View All Result
  • Contact Us
  • Homepages

© 2018 Forex Blog.