Noor Trends News, Technical Analysis, Educational Tools and Recommendations
The Canadian dollar touched the first target to be achieved during yesterday’s session at 1.3500, recording its highest level at 1.3505, and began to decline rapidly to the downside as a result of the collision with the resistance level represented in the target.
Technically, and by looking closely at the 4-hour chart, we find that the simple moving averages exert negative pressure on the price from above, which comes in conjunction with the clear negative signs on the stochastic.
From here, with the stability of daily trading without the resistance of the psychological barrier 1.3500, the bearish bias is the most preferred, targeting 1.3380 as the first target, noting that breaking 1.3375 increases and accelerates the strength of the bearish bias, opening the door towards 1.3315.
Crossing upwards to the resistance of 1.3500 cancels the bearish scenario, and the pair recovers again, heading to visit 1.3560 initially.
Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.
| S1: |