We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
GBP/USD
Bearish
USD/JPY
Mixed
Gold
Mixed
Oil - US Crude
Mixed
Bitcoin
Mixed
More View more
Notice

DailyFX PLUS Content Now Available Freely to all DailyFX Users

Real Time News
  • Trader tip: Not making a decision means avoiding #FOMOintrading. @IlyaSpivak https://t.co/PGD0n13D9p
  • Easing trade tensions provide tailwinds for equity markets. Get your update form @JMcQueenFX here: https://t.co/79q553DJNa
  • Here's a link to my technical outlook for the Dollar this week: 'US Dollar Facing Measured Breakout and In Its Long Grind Higher' https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2019/09/22/US-Dollar-Facing-Measured-Breakout-and-In-Its-Long-Grind-Higher.html?utm_source=Twitter&utm_medium=Kicklighter&utm_campaign=twr
  • RT @business: A senior official from the Bank for International Settlements has added his voice to those calling on governments to back up…
  • RT @JimPethokoukis: “The recent rise in trade policy uncertainty is extraordinary by several metrics ... much evidence points to negative e…
  • Traders should know how to confidently approach, enter and exit both Bull or Bear markets. Need some insight into it? Get it from @nickcawley1 here: https://t.co/GhvvFrB3gz https://t.co/JxyCkhOHSS
  • What is the biggest obstacle a trader needs to overcome to be successful? Find out from @JWagnerFXTrader here: https://t.co/7nWHSApUzS #FOMOintrading https://t.co/vXfEWo58RY
  • OECD warns of recession, central banks unleash, and the $USD builds breakout pressure. Get your update from @JohnKicklighter here: https://t.co/UKg6wfl8PB
  • What are the 6 common mistakes traders make? Is #FOMO a common mistake? Find out from @PaulRobinsonFX here:https://t.co/B7hOpGEHMp #FOMOintrading https://t.co/WOYk6lOJur
  • All currencies are not the same; emerging market #FX trades differently than developed market FX. Find out how these currencies differ, from @CVecchioFX here: https://t.co/BH8oal18sz https://t.co/IvomjZw0Bc
CAD Technical Analysis Overview: USDCAD, EURCAD, CADJPY

CAD Technical Analysis Overview: USDCAD, EURCAD, CADJPY

2019-02-27 11:00:00
Justin McQueen, Analyst
Share:

CAD Analysis and Talking Points

  • USDCAD | Key Fibo Support in Focus
  • EURCAD | Momentum and Trend Signals Weak, Descending Channel Holds
  • CADJPY | Topside Resistance May Limit Upside

See the DailyFX Q1 FX forecast to learn what will drive the currency throughout the quarter.

USDCAD | Key Fibo Support in Focus

USDCAD has continued to edge lower amid the dip below the 200DMA (1.3159) and now eyes key support at 1.3130 (61.8% Fibo from 2017 high to low) and 1.3120 (61.8% Fibo from Oct 2018 rise to 2019 peak). Previous attempts to break below have failed, as such, focus is on for a closing break below, which could extend a move towards 1.3070 before the 1.3000 handle. However, momentum indicators (DMI’s) are somewhat mixed, while ADX trend signals are also muted, which in turn may see USDCAD remain within its 2-month range. Topside resistance seen at 1.3225 and 1.3330.

USDCAD PRICE CHART: Daily Time Frame (Aug 2018 – Feb 2019)

CAD Technical Analysis Overview: USDCAD, EURCAD, CADJPY

Chart by IG

EURCAD | Momentum and Trend Signals Weak, Descending Channel Holds

EURCAD remains within its descending channel, however, momentum indicators are struggling to show signs of much in the way of firm direction, alongside this trend signals are also weak, keeping the outlook neutral. Near-term support situated at the 1.49 handle, whereby a break below opens up a room towards 1.48. Downside risks to EURCAD likely to recede, provided there is a closing break above 1.5050.

EURCAD PRICE CHART: Daily Time Frame (Sep 2018– Feb 2019)

CAD Technical Analysis Overview: USDCAD, EURCAD, CADJPY

Chart by IG

CADJPY | Topside Resistance May Limit Upside

CADJPY continues to hover around the 84.00 handle as support at 83.72 underpins. Topside resistance may curb gains with the 200DMA at 84.58, while the 61.8% Fibo resides at the 85.00. Momentum indicators suggest that further upside is likely however, as trend signals weakening, this reinforces the viewpoint that further upside may be somewhat limited.

CADJPY PRICE CHART: Daily Time Frame (Jul 2018–Feb 2019)

CAD Technical Analysis Overview: USDCAD, EURCAD, CADJPY

Chart by IG

--- Written by Justin McQueen, Market Analyst

To contact Justin, email him at Justin.mcqueen@ig.com

Follow Justin on Twitter @JMcQueenFX

provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.