CAD resumes the descent 30/1/2023

We remained neutral during the last report due to conflicting technical signals for CAD, explaining that activating short positions depends on breaking 1.3350, targeting 1.3300, and recording a low of 1.3299.

Technically, and with a closer look at the 240-minute chart, we notice the continuation of the negative pressure of the simple moving averages and the bearish trend line, which supports the possibility of further decline.

Therefore, we may witness a bearish trend during today’s trading session, noting that the decline below 1.3300 facilitates the task required to visit 1.3250 and 1.3220 as waiting stations.

Intraday trading stability above 1.3345, and most importantly 1.3370, postpones the chances of a decline but does not cancel it, and we may witness a slight bullish slope, which aims to retest 1.3400.

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: 1.3300	R1: 1.3345
S2: 1.3250	R2: 1.3400
S3: 1.3210	R3: 1.3440