USDCAD: Wedge Setup Calls for Gains
Strategy: Pending Long
USDCAD moved lower after putting in a Dark Cloud Cover candlestick pattern below resistance at 1.0053. Prices are now testing support at 0.9891. Overall positioning appears to be forming the outlines of a bullish Falling Wedge chart formation, with positive RSI divergence reinforcing the case for an upside scenario. We will look for confirmation on a daily close above 1.0053 to position for a long entry.
Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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