CAD maintains negative stability 28/10/2022

The technical outlook is unchanged, and the movements of the Canadian dollar did not change, maintaining the expected bearish context and the regular movements within the descending channel.

Technically and carefully considering the 4-hour chart, we find the simple moving averages continuing their negative pressure on the price from above, which comes in conjunction with the clear negative signs on the stochastic indicator.

Therefore, we maintain our negative outlook, knowing that trading below 1.3480 facilitates the task required to visit 1.3420 as a next station. Losses were made later to visit 1.3360 if the price is stable below the resistance level of 1.3610.

Above 1.3610 resistance is a temporary bullish mile, its initial target is around 1.3685.

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: 1.3480	R1: 1.3610
S2: 1.3420	R2: 1.3685
S3: 1.3345	R3: 1.3745