USD/CAD: technical analysis 13.03.2019

USD/CAD: technical analysis 13.03.2019

Current trend

On the 4-hour chart, the instrument is faliing along the lowet line of the Bollinger Bands. If the current trend maintains, the next targets of sellers will be the level of 1.3305 (Murray [2/8]), but overbought Stochastic could challenge the pair’s downard movement. If the “bulls” manage to raise the rate above the level of 1.3378, the correction can continue to the area of 1.3427 (Murray [4/8]), which coincide with the middle line of Bollinger Bands. Technical indicators mostly keep a sell signal, but the upward correction is possible in the short term. Bollinger Bands are leaned downwards. MACD volumes are increasing in the negative zone. Stochastic is in the oversold area and is pointed upwards, signaling the development of an upward correction.

Support and resistance

Support levels: 1.3305, 1.3244, 1.3183.
Resistance levels: 1.3366, 1.3427, 1.3488.

Trading recommendations

Short positions can be opened below the level of 1.3360 with the target at around 1.3305 and stop-loss 1.3380.
Long positions can be opened above the level of 1.3378 with the target at around 1.3427 and stop-loss 1.3361.