USD/CAD: technical analysis 22.02.2019
Current trend
On 4-hour chart, USD/CAD is trading in a bullish trend above the middle line of Bollinger Bands. The price is approaching a resistance level in the region of 1.3244 (Murray [2/8]). The breakout of the level 1.3244 will let the price grow to the level of 1.3275 (Murray [3/8])- 1.3305 (Murray [4/8]). However, overbought RSI barrier could prevent the pair’s upside. Failure to conquer the 1.3244 mark seems fetching the USD/CAD to 1.3214 (Murray [1/8]) support, which is the middle line of Bollinger Bands. The downward trend will be restored after the price is set below the level of 1.3214. In this case, the next targets of sellers will be the level of 1.3183 (Murray [0/8])-1.3153 (Murray [-1/8]). The technical picture is mixed. Bollinger Bands are pointed sideways. Stochastic is in the overbought zone, which can be a signal for downward correction. MACD volumes are decreasing in the negative zone.
Support and resistance
Support levels: 1.3214, 1.3183, 1.3153, 1.3122.
Resistance levels: 1.3244,1.3275, 1.3305, 1.3336.
Trading recommendations
Short positions can be opened below the level of 1.3214 with the target at around 1.3183-1.3153 and stop-loss 1.3230.
Long positions can be opened above the level of 1.3244 with the target at around 1.3275-1.3305 and stop-loss 1.3225.