Talking Points
- USD/CAD Technical Strategy: Shorts Preferred
- Break of range-bottom opens further falls
- Four hour chart shows little signs of a bounce
USD/CAD has finally broken below its range-bottom at 1.0860 with few signs a potential reversal on the daily. With the next noteworthy level of support resting at 1.0590 the pair could be set for extended declines, which may afford new short positions.
USD/CAD: Push Past Support Opens 1.0590
Daily Chart – Created Using FXCM Marketscope 2.0
A Hanging Man formation on the four hour chart has resulted in extended declines for USD/CAD. A bullish reversal signal remains absent suggesting the potential for further falls.
USD/CAD: Hanging Man Delivers Drop
4 Hour Chart – Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, DailyFX
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