Tuesday, August 13, 2013

USD/CAD TECHNICAL ANALYSIS




USD/CAD is the significant pair in the forex by its parity.  The market began at the price of 1.02852 this week. The USD has gained around 200 pips since this month but it was compensated by the last two days short.   

The sequential downtrend has been happened after it hits its one year high of 1.06095. When the trend has achieved its support point of 1.02755, it could be considered as oversold. 

The Bollinger band is always showing the volatility of the currencies. The moving average is being used to find the trend and this USD/CAD is marked by its downtrend. But, the phenomenon of oversold could be predicting the long from the support. 

Rather than island reversal, the parity has been showing serious trend reversal for the two weeks.  As the belief over the trend by the indicators could be satisfied the uptrend around 70+ pips. 

The additional belief over the trend has risen due to the impacts would occur by the economic releases.

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