Baxia Markets News

Canadian Dollar Continues To Dominate US Dollar

Written by Baxia Markets | May 20, 2021 10:16:18 PM

 

What next for USDCAD? It looks like USDCAD recently met support at 1.2016. The price stopped falling and hovered around 1.2105, making two waves in the process. Last period, the downward trend lasted almost 21 days, during these 21 days, the price stayed within the Bollinger Bands and barely fluctuated. And now, the stable downward trend seems to lose steam. The Fibonacci retracement level shows that the second wave of the price almost touched the 23.6% level. Is this time for USDCAD to go up?

 

 

First, the previous downward trend was stable, so it is not easy to turn it around. We cannot deny the support here, however, it is not enough. We can see the price stopped at the 23.6% Fibonacci level and turns down again. Also looking at the Ichimoku indicator you can find that it already started to go up. MACD just made a death cross, and we can consider this fairly important. Next, Stochastics and RSI turn down abruptly, as can be seen, at a big angle. Now, most as you can see the signals are bearish. Is it possible that the price is already back in the downward trend?

 

 

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