- USD/CAD trades around the last week’s higher high
- Simple Moving Average 30 has been a support
- The H1 chart looks good for the buyers
- Minor intraday charts have been bullish
USD/CAD Technical Analysis-H4 Chart
The pair has been bullish on the H4 chart for the last four weeks. The price had a rejection at 1.36380 last week. It made a bearish correction and consolidated around Simple Moving Average 30. Upon producing a bullish engulfing candle, the price headed towards the North again. As of writing, the pair trades around last week’s higher high. The price may consolidate around the level. A bullish breakout above the level may attract the buyers to go long in the pair again and push it towards the North further. The price may find its next resistance around 1.37000.
On the downside, if the chart produces a bearish engulfing candle, sellers may look to go short in the pair and drive it towards the South. However, unless it makes a bearish breakout at Simple Moving Average 30, we may not see Bear’s domination here.
Price Action Analysis-H1 Chart
The H1 chart shows that the price upon finding its horizontal support around 1.35950 made a strong bullish move. On its way, it made a momentous breakout at 1.36120 and continued its bullish journey for two more candles. As expected, the pair has found its resistance around 1.36380, which is the last week’s higher high. The pair may make a bearish correction in search of a support to get bullish again. The level of 1.36120 looks promising to hold the price as a level of support. The buyers may keep their eyes to go long from that level upon having a bullish reversal pattern.
The H4 and the H1 both charts look good for the buyers. They may keep their eyes on the pair to go long from the value areas. For the sellers, they may want to wait unless the pair shows strong bearishness on the H4 chart.
Written by: Md Tareq Sikder, Senior Analyst Forex Prop News
Contact and follow Tareq on Twitter: @tareqfpn