Noor Trends News, Technical Analysis, Educational Tools and Recommendations
Negative trades returned to control the movements of the Canadian dollar, after it failed to stabilize for a long time above the strong resistance level at 1.3400, which forced it to trade in negativity. The pair is now hovering around 1.3277.
Looking closely at the 240-minute chart, we find that Stochastic continues to provide negative signals, accompanied by the negative pressure from the simple moving averages.
The stability of daily trading below 1.3350 encourages us to hold onto our negative expectation, targeting 1.3230 as a first target, and breaking it opens the door towards a bearish path towards 1.3185 initially.
Trading stability above 1.3350 postpones the suggested bearish scenario above, and we may witness a slight bullish bias, aiming to retest 1.3430.
Today we are waiting for high-impact economic data issued by the British economy, “the Bank of England’s monetary policy report, the British interest rate decision, the Monetary Policy Committee’s vote on the interest rate and the summary of monetary policy.” We are also awaiting high-impact economic data issued by the European economy, “the bank’s press conference European Central Bank, the statement of monetary policy of the European Central Bank, interest rates and the speech of Christina Lagarde, President of the European Central Bank” and we may witness high volatility in prices at the time of the news release, which may lead the markets to random movements.
Note: Today we are awaiting high-impact data from the US economy, “Consumer Confidence Index,” and we may witness high volatility at the time of the news release.
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