USD/CAD - Downside acceleration to dominate Thursday

Alan Collins 3cAnalysis

Our bearish calls for Wednesday and this week were confirmed by yesterday's selling. Yesterday's report highlighted the significance of upside failure at Friday’s Marabuzo line and this translated into more significant downside yesterday. USDCAD was driven to 2 month lows, a correction of 62% of the Oct-Dec rise and to a test of the 200 day mvg avg. Oversold extremes are a concern, of course, and a profit kg bounce probable. Nonetheless, this morning’s call is a Modest Sell from 7am but leaving room to also Sell at 1.3158, intraday Marabuzo line. The risk is 1.3209, Wednesday’s Marabuzo line, with downside objectives at 1.3103, the base of the daily Keltner channel, 1.3077 and 1.3048, the 12 week low.

Downside Accelerates

USDCAD Current Trading Positions

Sell 58%

Buy 42%

Avg Sell Price 1.3339

Avg Buy Price 1.3282

Liquidity Distribution

Author

Alan Collins

3cAnalysis

Alan has been involved in the financial markets for more than 30-years.

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