(Last Updated September 11, 2020 16:12 GMT)
At the moment, USDCAD’s rate is down 0 pips (0%) from the hour prior. This is a reversal of the price action on the previous hour, in which price moved up. Regarding the trend, note that the strongest trend exists on the 50 hour timeframe. Price action traders may also wish to note that we see a pin bar candlestick pattern on USDCAD. Given that we see an uptrend on the 10 hourly candle timeframe, and that such candlestick patterns often denote reversals, this may be worth noting. The moving averages on the hourly timeframe suggest a bearishness in price, as the 20, 50, 100 and 200 are all in a bearish alignment — meaning the shorter duration moving averages are below the longer duration averages, implying a stable downward trend.
USDCAD End of Day Recap
Updated 00:30 GMT (04:30 EST)
The choppiness in the recent daily price action of USDCAD continues; to start today, it came in at a price of 1.31442, down 91 pips (0.69%) since the previous day. Relative to other instruments in the Forex asset class, USDCAD ranked 30th the previous day in terms of percentage price change. Let’s take a look at price chart of USDCAD.
USDCAD Technical Analysis
Notably, USDCAD crossed below its 20 day moving average yesterday. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 20 day average, which is 4.8 pips away. The clearest trend exists on the 30 day timeframe, which shows price moving down over that time. For additional context, note that price has gone down 20 out of the past 30 days.
The View From Around the Web
We’re seeing some traders come out with interesting conviction on USDCAD, with 20 buy signals on our radar and 4 sell signals. This imputes a buy/sell ratio of 5, which is very bullish. As for the rationale, technical traders seem to be citing the appearance of fibonacci and trendline technical patterns. Here’s a piece we found on dailyfx.com; below is a short snippet from it to give you a taste.
After just recently falling to a 7-month low USD/CAD staged a brief break higher, moving above a key trendline as crude oil price declines undermined the Canadian Dollar. Where is USD/CAD headed?