- April 23, 2021
- Posted by: cabana-admin
- Category: forex trading, Market Insights
General overview: USD/CAD failed to extend the previous day’s corrective pullback despite recent bounce off intraday low. Oil follows geopolitical news, upbeat US data and stimulus hopes to stay mildly bid. USD/CAD attempts recovery from intraday low but fails to go farther from the 1.2500, down 0.05% on a day, amid Friday’s Asian session. In doing so, the Loonie pair defies Thursday’s consolidation of the heaviest losses since June 2020, flashed on Wednesday. The pair might getting certain pushback from downside but fails to rise for the time while, as certain path cannot be seen for the buyers drive as the sellers are expected to drive the car for the long time.
Technical overview: From the technical point of view for that we can say that market is providing selling signals to traders. On the hourly chart market is creating potential rounding top and leads towards the selling side in the market. On the daily chart the market is creating downside strong trend the more downfall can be expected. The positional traders can take their trade towards the sell side in the market. The pair is getting support from the 200 SMA and 50 EMA lines for more bearish confirmation in the market. The market selling level can be reach till 1.2379 level. The indicator is also moving towards the bearish side in the market as the RSI and MACD is also leads towards the bearish side in the market. The support level is 1.2427followed by 1.2377 and resistance level will be 1.2527 followed by 1.2577
Trade idea: Our traders will sit towards sell side below 1.2477 target will be 1.2428 -1.2388 stop loss will be 1.2537.