Baxia Markets News

Descending Triangle on USDCAD

Written by Baxia Markets | Sep 27, 2021 7:05:24 PM

 

The previous breakup was steep. Although this breakout was within the expectation, it was still fast, it even stopped soon. As can be seen, the price met resistance on Sep 20th. The whole breakout process had lasted three days, which was not a long and solid trend. Recently, the price made some fluctuations; however, none of them had enough power to change the big picture of the price. 

 

 

 

But we can still find some hints on those fluctuations. Here we can see, the fluctuations have been making a Descending triangle. As we know, the descending triangle is a bearish signal, which means the price would break down when the triangle finishes. Will the USDCAD go down soon? We already got some signals here. The MACD moved below the zero level. Although the MACD made a bullish cross recently, it just revealed a temporary fluctuation signal. Ichimoku has moved above the price line earlier. Stochastics are going down and just made a cross. I know the Williams R% oversold situation may look unstable; however, the oversold situation could last.

 

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