New York
London
Tokyo
Chart Of The Day | Forex Chart Analysis | James Chen
Join James Chen, FX Solutions\' Lead Technical Analyst, each day as he provides commentary for a given currency pair chart setup.

April 19 – USD/CAD – Bullish correction

USD/CAD Daily Chart - April 19

(Price on 1st pane, Slow Stochastics on 2nd pane; horizontal support/resistance levels in yellow; uptrend lines in green; downtrend lines in red; chart patterns in white; 50-period simple moving average in light blue.)

4/19/2010 – USD/CAD – Price action on USD/CAD, a daily chart of which is shown, has made a bullish correction up to the 1.0200 resistance price region before retreating as of Monday (4/19/2010).

This correction occurs within the context of a strong downtrend and after a 22-month low below parity was hit mid-week last week. As long as price action stays (closes) below this key 1.0200 price region, the technical bias for this currency pair continues to be bearish in line with the overall downtrend. The most important downside level to watch continues to be parity (1.0000), a re-break below which price could continue the downtrend, potentially targeting further downside support in the 0.9800 price region.

In the event of a significant breakout and close above the noted 1.0200 level, the current downtrend could be placed at risk, with key further resistance to the upside residing in the 1.0400 price region.

Tagged as: , ,

SocialTwist Tell-a-Friend

Leave a Response

Trading Metro
Disclaimer

Before diving into the legalese below, use your common sense when trading. Rely on yourself to define trade execution, don't trade with money you cannot afford to lose, and know the risks of trading. Be responsible, be honest, and use common sense.

Online trading, especially that on margin carries a high level of risk and may not be suitable for all investors. Opinions expressed at Trading Metro are those of the independent authors and do not necessarily represent the opinion of Trading Metro. Trading Metro has not verified the accuracy of any claim or statement made by any independent author. It's your responsibility to ensure the veracity of information presented.

Any solutions, opinions, news, research, analyses, prices or other information contained on this website, by Trading Metro, its employees, partners or contributors, is provided as general market commentary and tools, and does not constitute investment advice. Trading Metro will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information. Information on Trading Metro is NOT a recommendation or solicitation to buy or sell any securities. Your use of this and all information contained on Trading Metro is governed by the Terms and Conditions of Use. Please click the link to view those terms. Follow this link to read our Editorial Policy and our Privacy Notice.

Feedback Form