CAD is back to the downside 26/6/2023

The Canadian dollar failed to settle for a long time above the resistance level of the psychological barrier 1.3200 to return to the bearish trend again, and the current movements are witnessing stability around its lowest level during the morning session of today’s trading session, around 1.3160

From a technical point of view, today we tend to be negative in our trading, relying on the negative pressure coming from the simple moving averages that support the daily bearish price curve, and this comes in conjunction with the negative signs of the relative strength index and its stability below the mid-line 50.

Therefore, the bearish bias is more likely during today’s trading, targeting 1.3130 as a first target, and breaking it increases and accelerates the strength of the bearish bias, paving the way towards 1.3080 and 1.3050, respectively.

Only from above, the upside move, and the price consolidating above the resistance of the psychological barrier 1.3200, nullifies the activation of the bearish scenario, and the pair begins to recover, aiming to retest 1.3260.

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: 1.3130	R1: 1.3210
S2: 1.3080	R2: 1.3260
S3: 1.3040	R3: 1.3300