Free Trial

Bearish Conditions Still Dominate

USDCAD TECHS
  • RES 4: 1.2957 High Dec 21 and a reversal trigger
  • RES 3: 1.2891 50-day EMA
  • RES 2: 1.2880 High Dec 24
  • RES 1: 1.2775 20-day EMA
  • PRICE: 1.2766 @ 17:19 GMT Jan 11
  • SUP 1: 1.2659/30 Low Jan 8 / Low Jan 6
  • SUP 2: 1.2603 1.236 proj of Oct 29 - Nov 9 downleg from Nov 13 high
  • SUP 3: 1.2586 Low Apr 19, 2018
  • SUP 4: 1.2536 1.382 proj of Oct 29 - Nov 9 downleg from Nov 13 high

USDCAD traded lower last week registering a low print of 1.2630 on Jan 6. The recent break of 1.2688, Dec 15 low confirms a resumption of the downtrend that has been in place since the reversal in March 2020. The focus is on weakness towards 1.2603 next, a Fibonacci projection. Note that recently we had focused on the potential for a stronger corrective bounce. This materialised in a breach of 1.2798 on Monday, the Jan 4 high, but prices swiftly reversed back lower.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.