USD/CAD - Upside Stalled, Sellers to Return?

Alan Collins 3cAnalysis

Trading was mixed in USDCAD yesterday. Both initial lows, a reaction to Monday’s gains, and subsequent highs were rejected. This left the currency pair with limited net movement, although still above the key mvg avgs. This lack of follow through in either direction signals investor uncertainty but continued failure above 1.3300 provides scope for a deeper pullback. So, this morning’s call is a Cautious & Temporary Sell but leaving room to Sell any Rally to 1.3306. The risk is 1.3328, November’s high, with an immediate target of 1.3273, the 13 day mvg avg. A move through that point then exposes sentiment to 1.3259, last week's low, or even towards 1.3234, Nov 19th Marabuzo line.

Demand Stalled

USD/CAD Current Trading Positions

Sell 31%

Buy 69%

Avg Sell Price 1.3242

Avg Buy Price 1.3264

Liquidity Distribution

Author

Alan Collins

3cAnalysis

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

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