The USD/CAD price action has been able to record some moderate profits toward the 1.3600 level. However, headwind returned as soon as prices broke through the 1.3480 level. Nevertheless, let’s further examine this market to know more.
Major Price Levels:
Top Levels: 1.3520, 1.3570, and 1.3600
Floor Levels: 1.3499, 1.3460, and 1.3430
Headwind Kindles in the USD/CAD Daily Market
Not long after USD/CAD price action broke through the 1.3485 price mark at the 38.20 Fibonacci Retracement level, downward forces started acting on price action. The latest price candle on this chart is a bearish one and has pushed the pair’s price down toward the 38.20 Fibonacci retracement support level. However, at this point, price action remains above the middle limit of the Bollinger Bands. Meanwhile, trading indicators continue to point upward. Nevertheless, it is crucial to note that the effect of the last bearish price candle on this chart has been felt by the applied trading indicators. The MACD indicator bars have turned pale in appearance, which indicates a decrease in upside momentum. Although the RSI indicator lines are still moving upward, they have moved closer to each other, which indicates that more downward retracement may occur.
Downward Forces in the USD/CAD Market Seems to Been Growing Stronger
On the 4-hour USD/CAD market, it could be seen that price action is retracing support more vigorously. The MACD indicator lines have now moved closer, and are nearing a bearish crossover just above the 0.00 level. Also, its pale green histogram bars are now vanishing into the 0.00 level, which indicates an increase in downside momentum. Additionally, the Stochastic RSI indicator lines have taken a downward path following a bearish crossover. At this point, the last price candle on this chart is closer to the middle limit of the Bollinger Band indicator. Therefore, traders in this market should prepare to see the pair’s price near the 1.3450 level.
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