USD/CAD Piercing Line Pattern Fails To Stir The Bulls
- USD/CAD Technical Strategy: Shorts Preferred
- Piercing Line pattern fails to stir the bulls
- 1.0700 continues to hold as key resistance
USD/CADfailed to crack key resistance at 1.0700 which suggests limited follow-through to the Piercing Line pattern on the daily. With the bears seemingly retaining control of prices the 1.0560 mark appears attainable.
USD/CAD: Piercing Line Fails To Stir The Bulls
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
An examination of the four hour chart reveals a Harami pattern which suggests the potential for an intraday bounce. However, given the significance of the 1.0700 handle and the context afforded by the daily, the extent of any gains may prove limited.
USD/CAD: Harami May Yield Short-Lived Recovery
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Market Analyst, DailyFX
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here.
Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.