Jump to content

USDCAD, The Bear has Returned!


Recommended Posts

On 11/12/2021 at 20:24, YEW_Trade said:

USDCAD has been on an upward momentum for quite some time and now it’s losing steam. 
The Return of the Bear is Near! 

B3260272-5C22-4FCE-87EA-828F1F79B72B.png

Hi @YEW_Trade

Thanks for sharing your analysis on USDCAD.

USD/CAD may continue to retrace the decline from the monthly high (1.2854) ahead of the FOMC rate decision on December 15, but the recent reversal in retail sentiment looks poised to persist as the exchange rate trades within broad range in the second half of 2021.

image.png

The IG Client Sentiment report shows 64.72% of traders are currently net-long USD/CAD, with the ratio of traders long to short standing at 1.83 to 1.

 

USD/CAD RATE DAILY CHART

Image of USD/CAD rate daily chart

Source: Trading View

  • Keep in mind, USD/CAD cleared the January high (1.2881) in August as an inverse head-and-shoulders formation took shape, but the exchange rate failed to defend the July low (1.2303) in October as the Relative Strength Index (RSI) dipped below 30.
  • As a result, USD/CAD may continue to trade within a broad range as the recovery from the October low (1.2288) failed to produce a test of the September high (1.2896), with a textbook RSI sell signal taking shape in December as the oscillator fell back from overbought territory to push below 70.
  • However, lack of momentum to close below the 1.2620 (50% retracement) to 1.2650 (78.6% expansion) region may push USD/CAD back towards 1.2770 (38.2% expansion), with the next area of interest coming in around 1.2830 (38.2% retracement) to 1.2880 (61.8% expansion), which largely lines up with the monthly high (1.2854).
  • Need a break of the September high (1.2896) to bring the August high (1.2949) on the radar, with the next area of interest coming in around 1.2980 (61.8% retracement) to 1.3040 (50% expansion).

Written by David Song, Currency Strategist, DailyFX

 

All the best - MongiIG

Link to comment

Canadian Dollar Technical Forecast: USD/CAD Retains a Bullish Profile Ahead of FOMC.

USD/CAD Forecast Ahead of the Canadian Inflation Data

 

USD/CAD WEEKLY OUTLOOK: BULLISH

  • USD/CAD has soared since late October, printing higher lows and higher highs on its journey north
  • Earlier this week, the price pulled back modestly, but has since rebounded after failing to break cluster support near the 1.2600 area
  • The near-term technical and fundamental bias for USD/CAD is positive

Full article by Written by Diego Colman, Contributor. DailyFX

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • Recently, U.S. Senator Bill Hagerty from Tennessee spoke at the Bitcoin conference, stating his efforts to push for Bitcoin-supportive legislation to promote freedom and opportunity. This year, cryptocurrency has become a key battleground in the election campaigns. It remains to be seen whether future policies on cryptocurrency will improve.
    • The digital landscape is undergoing a profound transformation as attention, once a freely given commodity, is increasingly recognized as a valuable asset. Layer3 is at the forefront of this revolution, pioneering a new economy where attention can be owned, traded, and monetized   This innovative approach empowers individuals to monetize their engagement, providing unprecedented control over personal data. Simultaneously, advertisers benefit from transparent metrics that optimize campaign performance. Content creators are presented with diverse revenue avenues beyond traditional advertising, while the overall ecosystem experiences a more equitable distribution of value.   The implications of Layer3 extend across various sectors. Social media platforms, for instance, can leverage this technology to revolutionize user engagement and monetization strategies. Tokenomics play a crucial role in driving Layer3's economy, incentivizing participation and rewarding value creation. While challenges such as data privacy and market volatility exist, the potential benefits of Layer3 are immense   Anticipation is building as its native token $L3 is on Bitget Pre-market as users await its listing on the exchange. This milestone is expected to significantly increase the token's visibility and accessibility, potentially driving substantial growth and attracting new investors. As the countdown begins, the crypto community watches with keen interest, eager to see how Layer3 will perform in this new chapter.
    • I've been exploring the world of play-to-earn gaming recently, looking for something that's not just about endless grinding but actually offers a fun and rewarding experience. OGC really stood out to me because it combines gaming with a sense of community in a unique way. OGC isn't just a game; it's a platform where you can play, earn, and even help shape its future. You're not just a player; you're part of a community with a voice. The idea of earning crypto while playing games is exciting, but what makes OGC special is its focus on community involvement. Your feedback can directly influence the development of the game, which is a big deal. I've also heard that the OGC token is available for pre-market trading on Bitget. While I'm still getting to know the platform and its features, it's definitely something to keep an eye on. Has anyone else tried OGC? What has your experience been like? I'd love to hear your thoughts and any tips you might have.
×
×
  • Create New...
us