USD/CAD Dojis Signal Hesitation From The Bulls Near Critical Support
- USD/CAD Technical Strategy: Longs Preferred
- Bullish Engulfing pattern results in break of 1.1000 handle
- Bearish reversal signal on the daily remains absent
The break above 1.1000 for USD/CAD has been met with little fanfare by traders as the pair continues to struggle to push higher. While the Dojis on the daily denote some indecision amongst traders, they are not enough to suggest a bearish reversal at this stage.
USD/CAD: Continues To Tease Traders Above Key Level
Daily Chart - Created Using FXCM Marketscope 2.0
Drilling down to the four hour chart; a couple of Dojis near 1.045 are further evidence that bulls are lacking the conviction necessary to push USD/CAD higher. However, similarly to the daily, the signs of indecision are not substantial enough to indicate a meaningful correction. Buying support is likely to continue to keep the Loonie above the 1.1000 in the session ahead.
USD/CAD: Buyers Likely To Emerge at 1.1000
4 Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, FXCM
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