Previous: USD/CAD in a Tight Range in the Near-term; at Resistance (8/13)
USD/CAD 1H Chart 8/15/2012 9:05AM EDT
After the market broke above the near-term range between 0.9905 and 0.9922, USD/CAD rallied to 0.9940 and found resistance under the noted 0.9942 pivot. Since then, the pair remains range-bound between this 0.9940 resistance and the 0.9905 support.
Once again in the 8/15 US session, we are seeing the USD/CAD test this support. A rally back to 0.9922 would reflect regression back to mean price action.
A break below 0.99 opens up the 0.98 handle/ 2012-low. A break above 0.9950 would suggest a bottom has been put in place, signaling a bullish outlook in the very short-term, back toward parity.
Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist for FXTimes – provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
Information and opinions contained in this report are for educational purposes only and do not constitute an investment advice. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness. FXTimes will not accept liability for any loss of profit or damage which may arise directly, indirectly or consequently from use of or reliance on the trading set-ups or any accompanying chart analysis.
