USD/CAD Awaiting Reversal Signal Near Range-Bottom
- USD/CAD Technical Strategy: Pending Long
- Range between 1.0810 and 1.0960 remains in play
- Gravestone Doji fails to find follow-through
As noted in yesterday’s candlesticks report the June FOMC Meeting offered the potential for significant US Dollar volatility. The resulting price action has negated a Gravestone Doji on the daily for USD/CADwhich had suggested at a potential shift in sentiment for the pair. With bullish reversal signals now absent, doubt is cast over the possibility of a bounce. At the same time the range-bottom may offer some support to the Loonie and leave limited scope for further declines.
Daily Chart - Created Using FXCM Marketscope 2.0
An examination of the four hour chart similarly reveals a notable absence of bullish signals, despite the pair pushing on noteworthy support at 108.15.
USD/CAD: Bullish Patterns Remain Missing In Intraday Trade
4 Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, DailyFX
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