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MNI DAILY TECHNICAL ANALYSIS - USDCAD Clears Trend Peak

Price Signal Summary – USDCAD Clears Trend Peak

  • The trend condition in S&P E-Minis remains bullish and the contract is holding on to the bulk of its recent gains. A key short-term support has been defined at 5724.25, the Nov 4 low. The latest rally resulted in a breach of the bull trigger at 5927.25, Oct 17 high. A bearish condition in Eurostoxx 50 futures remains intact and Tuesday’s extension down reinforces current conditions. The sell-off confirms a resumption of the downtrend that started Sep 30. Price has breached 4746.94, the 61.8% retracement of the Aug 5 - Sep 30 bull cycle.
  • GBPUSD traded sharply lower yesterday, solidifying the downtrend. Tuesday’s move resulted in a breach of support at 1.2834, the Nov 6 low. The clear break confirms a resumption of the downtrend, compounded by the weakness through 1.2762, the Aug 13 low. The USDJPY trend condition is unchanged and remains bullish. This week’s climb has resulted in a breach of resistance at 154.71, the Nov 11 high, to confirm a resumption of the uptrend and maintain the price sequence of higher highs and higher lows.USDCAD is trading at this week’s highs and has topped the most recent trend peak of 1.3959, the Nov 1 / 6 high. A clear break of this hurdle would confirm a resumption of the uptrend and confirm a clear breach of key resistance at 1.3946, the Aug 5 high.       
  • The trend condition in Gold is unchanged, it remains bullish and the latest pullback appears corrective. However, recent weakness has resulted in a breach of the 20-day EMA, and Tuesday’s sell-off delivered a print below the 50-day EMA, at $2644.4. A bearish theme in WTI futures remains intact and the move lower from the Nov 7 high, reinforces current conditions. An extension lower would expose $65.99, the Oct 1 low, and $64.16, the Sep 10 low and key support.
  • Bund futures have pulled back from their recent highs. Short-term gains are - for now - considered corrective. The trend direction is down and the Nov 6 break to a fresh cycle low reinforces this theme. The 131.00 handle has been cleared, signalling potential for 129.99. The trend condition in Gilt futures is unchanged and remains bearish. Short-term gains are considered corrective. The contract has recently breached 92.99, a 2.00 projection of the Sep 17 - 30 - Oct 1 price swing.

FOREIGN EXCHANGE    

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Price Signal Summary – USDCAD Clears Trend Peak

  • The trend condition in S&P E-Minis remains bullish and the contract is holding on to the bulk of its recent gains. A key short-term support has been defined at 5724.25, the Nov 4 low. The latest rally resulted in a breach of the bull trigger at 5927.25, Oct 17 high. A bearish condition in Eurostoxx 50 futures remains intact and Tuesday’s extension down reinforces current conditions. The sell-off confirms a resumption of the downtrend that started Sep 30. Price has breached 4746.94, the 61.8% retracement of the Aug 5 - Sep 30 bull cycle.
  • GBPUSD traded sharply lower yesterday, solidifying the downtrend. Tuesday’s move resulted in a breach of support at 1.2834, the Nov 6 low. The clear break confirms a resumption of the downtrend, compounded by the weakness through 1.2762, the Aug 13 low. The USDJPY trend condition is unchanged and remains bullish. This week’s climb has resulted in a breach of resistance at 154.71, the Nov 11 high, to confirm a resumption of the uptrend and maintain the price sequence of higher highs and higher lows.USDCAD is trading at this week’s highs and has topped the most recent trend peak of 1.3959, the Nov 1 / 6 high. A clear break of this hurdle would confirm a resumption of the uptrend and confirm a clear breach of key resistance at 1.3946, the Aug 5 high.       
  • The trend condition in Gold is unchanged, it remains bullish and the latest pullback appears corrective. However, recent weakness has resulted in a breach of the 20-day EMA, and Tuesday’s sell-off delivered a print below the 50-day EMA, at $2644.4. A bearish theme in WTI futures remains intact and the move lower from the Nov 7 high, reinforces current conditions. An extension lower would expose $65.99, the Oct 1 low, and $64.16, the Sep 10 low and key support.
  • Bund futures have pulled back from their recent highs. Short-term gains are - for now - considered corrective. The trend direction is down and the Nov 6 break to a fresh cycle low reinforces this theme. The 131.00 handle has been cleared, signalling potential for 129.99. The trend condition in Gilt futures is unchanged and remains bearish. Short-term gains are considered corrective. The contract has recently breached 92.99, a 2.00 projection of the Sep 17 - 30 - Oct 1 price swing.

FOREIGN EXCHANGE    

Keep reading...Show less