We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Oil - US Crude
Bearish
Bitcoin
Mixed
More View more
USD/CAD Whipsaw Sees Shooting Star Formation Emerge

USD/CAD Whipsaw Sees Shooting Star Formation Emerge

2014-09-10 11:49:00
David de Ferranti, Currency Analyst
Share:

Talking Points

  • USD/CAD Technical Strategy: Sidelines Preferred
  • Shooting Star To Warn Of A Correction If Confirmed
  • Awaiting Break Of Narrow Range For Fresh Positioning

USD/CAD remains at a crossroads as a Shooting Star formation warns of weakness after failing to close above the 1.1000 barrier. Critically the reversal formation awaits validation from an ensuing down day to confirm the potential for a correction. A pullback would likely be met by buying interest at the 1.0854 floor. Traders should be mindful of the pair’s tendency to whipsaw in recent trade, which warrants a cautious approach to trading an upside breakout.

USD/CAD: Shooting Star Emerges After Failing To Close Above 1.1000

USD/CAD Whipsaw Sees Shooting Star Formation Emerge

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

The four hour chart paints a mixed picture as reversal signals emerge amid choppy trading conditions. The latest such pattern (a Piercing Line formation) may struggle to find follow-through with intraday resistance looming nearby at 1.1000.

USD/CAD: Choppy Trading Leaves Mixed Signals

USD/CAD Whipsaw Sees Shooting Star Formation Emerge

4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

By David de Ferranti, Currency 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.

DISCLOSURES

News & Analysis at your fingertips.