Free Trial

Doji Reversal Highlights A Bearish Theme

USDCAD TECHS
  • RES 4: 1.3300 High Nov 4
  • RES 3: 1.3214 61.8% retracement of the Oct 29 - Nov 9 sell-off
  • RES 2: 1.3178 50-day EMA
  • RES 1: 1.3173 High Nov 13
  • PRICE: 1.3074 @ 06:29 GMT Nov 23
  • SUP 1: 1.3034 Low Nov 18
  • SUP 2: 1.2985 Low Nov 10
  • SUP 3: 1.2929/17 Low Nov 9 / Low Oct 16, 2018
  • SUP 4: 1.2857 Low Oct 4, 2018

USDCAD is consolidating. The pair stalled on Nov 13 at 1.3173 and this level remains a key short-term resistance. Recent gains have likely been a correction. The Nov 13 candle formation, a doji, highlights a bearish reversal. The pattern signals the end of the recent correction and if correct, suggests the downtrend is likely to resume once again. An extension lower would refocus attention on 1.2929, Nov 9 low and the bear trigger.

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.