October 02, 2024 at 03:23PM
The USDCAD is waffling up and down in trading today with the current price trading near lows. Yesterday, the price closed below its 100 hour moving average (blue line) and 200 hour MA (green line). That is a bearish tilt technically.
Today the 100-hour moving average and 200 hour moving average are near converged at at 1.3500. The high price today has reached 1.3495 – just below that level. Bears remain in control.
For today and going forward, if the price of the USDCAD can stay below those moving averages, the technical bias tilts in the favor of the sellers. Move above and there could be more upside probing as traders react to the failed break and bias shift.
On the downside, the next targets would have traders looking toward the swing area between 1.3457 and 1.3465 (see red numbers circles and yellow area on the chart below). Move below that level and traders would look toward 1.34398, and the low price from last week at 1.34189.
The low price last week stalled right near a swing low floor from February and March between 1.3412 and 1.3416 (see DAILY chart below). Move below that level and sellers add to their control. Conversely, if that level cannot be broken, the dip buyers are still in play (at a disadvantage, but in play).
This article was written by Greg Michalowski at www.forexlive.com.
