USD/CAD Down 12 Pips in Last 4 Hours, 2 Day Down Streak Snapped; Pin Bar Pattern Appearing on Chart

USD/CAD 4 Hour Price Update

Updated July 06, 2020 05:09 AM GMT (01:09 AM EST)

USD/CAD is down 12 pips (0.09%) since the previous 4 hours (opening the current 4 hour candle near 1.3538), marking the 2nd candle in a row a decrease has occurred. Compared to its peers in the Forex, USD/CAD gave its buyers a return that ranked 27th in terms of percentage change since the previous 4 hours.

USD/CAD End of Day Recap

Updated 00:30 GMT (04:30 EST)

The choppiness in the recent daily price action of USD/CAD continues; to start today, it came in at a price of 1.35505, up 5 pips (0.04%) since yesterday. Compared to its peers in the Forex, USD/CAD gave its buyers a return that ranked 8th in terms of percentage change since yesterday. Let’s take a look at price chart of USD/CAD.

USD/CAD Technical Analysis

The first thing we should note is that the current price of USD/CAD is sitting close to its 20, 50, 100 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. 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 200 day average, which is 3 pips away. It should be noted, though, the 20 day simple moving average turned downwards, which may be a bearish sign. The clearest trend exists on the 90 day timeframe, which shows price moving down over that time. Interestingly, a trend in the other direction exists on the 30 day timeframe, where price is headed up. For additional context, note that price has gone up 15 out of the past 30 days. Oh, and one last thing: if you trade off of candlesticks, note that we’re seeing pin bar pattern appearing here.

The View From Around the Web

Of note is that traders in aggregate have opinions on USDCAD, with 14 buy signals on our radar and 17 sell signals. This imputes a buy/sell ratio of 0.82, which is neutral. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Breakdown from ascending triangle8 EMA below both 21 and 50