Technicals suggesting stronger fundamentals for the CAD
Regardless of any short term reaction for the USDCAD following today's bank of canada rate decision. Some serious technical damage has been done to the pair. Suggesting we may have established a new bear trend and may extend over the coming months.
1.30 was a key horizontal structural low and support zone. We have been trading below that support for two weeks now. This break was preceded by an earlier break of the key 52 week moving average and the long term 2+ years rising channel.
Pullback towards 1.30 on buy the rumor sell the news could provide a golden opportunity for a big potential short. Of Course, and as usual, i give my self extra assurance by using extra confirmation on lower time frames charts before shorting.
As traders, any scenario we anticipate has good probability of failure, that's why we trade with care and manage our risk.
Trade safe.
Best
Technician
1.30 was a key horizontal structural low and support zone. We have been trading below that support for two weeks now. This break was preceded by an earlier break of the key 52 week moving average and the long term 2+ years rising channel.
Pullback towards 1.30 on buy the rumor sell the news could provide a golden opportunity for a big potential short. Of Course, and as usual, i give my self extra assurance by using extra confirmation on lower time frames charts before shorting.
As traders, any scenario we anticipate has good probability of failure, that's why we trade with care and manage our risk.
Trade safe.
Best
Technician
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.