Forex trading a BTC rebirth? – Forex trading head-and-shoulders on USD/CAD [Video]
|In today’s Market Outlook, let’s take a look at Forex Trading on the US Nonfarm Payrolls, USD/CAD, and BitCoin, BTCUSD.
Are we witnessing the start of a crypto rebirth?
Price action on Bitcoin almost fell to $80,000 on 21 November and has now rebounded to over $92,000.
From the technical standpoint, we see the stochastic oscillator overbought but with a bit of room to move.
The MACD signal line has passed out of the histogram which is a bullish sign.
We can also see that Fibonacci retracements have been quite faithful with the daily chart on Bitcoin with price action rebounding from several places so let’s keep an eye on this.
Also, price has broken above the current upper trendline with the next key level above at exactly $100,000.
Last time we spotted this double top on USDCAD and price action did in fact break the neckline and fall.
Now, price action is at a key level of support $1.40, and this could be considered a head-and-shoulders pattern.
MACD looks like it is heading into bearish territory but keep an eye on the stochastic oscillator.
However, both USD and CAD might be affected by today’s Canadian employment figures and US Personal Consumption Expenditures, which is a key measure of inflation and the U of Michigan consumer surveys.
And, as we noted last time, no Non-Farm Payroll report as we would usually see on the first Friday of the month.
When the NFPs do finally get released 16 December, after missing so much time and data lag, the effects on the market could be seismic.
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