Previous: USD/CAD 4H Chart Sees Negative Reversal Targeting 1.0030…(1/24)
USD/CAD
The 4H USD/CAD continues it’s decline below triangle support and below a support area around 1.0070. In the 1/27 Asian-European session, it is confirming the bearish outlook after a brief pullback in the previous US Session. The RSI shows persistent bearish momentum since breaking below the triangle, as the reading has tagged 30 but failed to break above 60.
The RSI in the daily chart is falling below 40, reflecting loss of bullish momentum established by the rally before the triangle formation in Q4 2011. As the market looks to return to lows established in 2011, it first sees a support pivot at 0.9883, 61.8% retracement and support on 10/27-10/28,2011. A break below this opens up the next level of common support near 0.9770.
Fan Yang CMT is the Chief Technical Strategist of IBTRADE and FXTimes – provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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