USD/CAD: technical analysis 21.03.2018


Current trend

On 4-hour chart, USD/CAD is active falling and is approaching a support in the region of 1.3000 (Murray [5/8]).

Technical indicators reflect the active maintenance of the current downward trend.

Bollinger Bands are diverging.

MACD volumes are decreasing in the positive zone, showing the growth of sellers’ moods.

Stochastic’s lines are pointed downwards and are reaching the oversold area.

The breakout and consolidation of the price below the level of 1.3000 will let USD/CAD reach the level of 1.2939 (Murray [4/8]).

The upward trend will be restored after the price is set above the level of 1.3077, which is the middle line of Bollinger Bands.

In this case, the next targets of buyers will be the level of 1.3122 (Murray [7/8]).

Support and resistance

Support levels: 1.3000, 1.2939, 1.2878.

Resistance levels: 1.3061, 1.3122, 1.3200.

Trading recommendations

Short positions can be opened below the level of 1.3000 with the target at around 1.2939 and stop-loss 1.3020.

Long positions can be opened above the level of 1.3061 with the target at around 1.3122 and stop-loss 1.3040.