Forex Strategy: USD/CAD Awaits Bullish Signal Near Key Support
- USD/CAD Technical Strategy: longs preferred
- Psychologically-significant 1.1000 handle acting to support prices
- Doji on daily suggests hesitation amongst the bears
The Hammer candlestick on the daily chart has failed to receive confirmation which puts doubt on the potential for a USD/CAD bounce. However, the psychologically-significant 1.1000 handle remains noteworthy support that may prompt some hesitation amongst the bears, which is made further evident by the recent Doji formation.
USD/CAD: Back in Familiar Range
Daily Chart - Created Using FXCM Marketscope 2.0
Drilling down to the four hour chart, several bullish reversal patterns have failed to receive much follow-through. New long positions may be better-served if a correction higher starts to gain traction.
USD/CAD: 1.1000 Offers Support In Intraday Trade
4 Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, FXCM
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.