Talking Points
- Strategy: Long (1.1280), Target: 1.1460, Stop 1.1270 (Daily Close)
- Clings To Key Support With Reversal Formations Absent
- H4 Chart Leaves Clearer Candlestick Cues Desired
USD/CAD is teasing traders near key support at 1.1280/5 as recent reversal signals fail to offer the pair lift-off. Yet the presence of a core uptrend (albeit an extremely choppy one) remains. This suggests a further retreat is questionable and may warrant a ‘buy the dip’ approach. Traders should be mindful of the pair’s tendency towards violent intraday whipsaws meaning caution is required when looking to adopt fresh positioning.
USD/CAD: Presses Into Key Support Zone
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart appears lacking of key reversal candlestick patterns. This leaves a more constructive setup desired to offer a clearer technical bias.
USD/CAD: Candlestick Reversal Patterns Lacking In Intraday Trade
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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