USD/CAD Bullish Engulfing Pattern Hints At A Bounce Near Range-Bottom
- USD/CAD Technical Strategy: Sidelines Preferred
- Range-bottom at 1.0900 remains critical support
- Bullish Engulfing pattern hinting at a bounce
USD/CAD is facing a make-or-break moment in the hours as the pair tests a critical support level near 1.0900. While buyers appear to be keeping prices well-supported in early European trading, a bullish reversal signal has yet to emerge on the daily.
USD/CAD: Make or Break Moment Near Range-Bottom
Daily Chart - Created Using FXCM Marketscope 2.0
Drilling down to the four hour chart, a Bullish Engulfing signal suggests the potential for a test of former support-turned resistance at 1.0955 in the session ahead. A break higher would likely prompt a swift advance on the psychological 1.1000 mark.
USD/CAD: Bullish Engulfing Pattern Hints At A Bounce
4 Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, FXCM
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