5 Nov 2013
USD/CAD still USD/CAD bullish?
FXstreet.com (London) - Research teams at TD Securities noted that the USD/CAD is trying to push higher but the rebound looks stalled at 1.0450.
USD/CAD 1.0450 was the short-term break out resistance on the hourly chart that would target a rally to 1.05, if broken. “The market may struggle to push decisively higher right now as momentum, while bullish, may not be strong enough to sustain a rally”. Further more, they added, the bullish alignment of the short-term trend momentum studies plus the USD’s push through short-term consolidation resistance in the low 1.04 area yesterday suggests that near-term downside risks are limited and that the directional bias of the market is skewed higher. “Look to buy dips”.
Price action constructive
“Daily price action is constructive for USD/CAD, reflecting the position on the short-term charts noted above. A bullish “hammer” signal formed yesterday, implying that a firm base is in for the USD now, with the market clearly rejecting sub-1.04 levels (firm support noted around 1.0420 previously). Minor resistance at 1.0450 (above) is blocking the topside but we think a push higher to test 1.0500/10—key short-term resistance (trend off the recent highs and channel top) is just a matter of time. We remain bullish"
USD/CAD 1.0450 was the short-term break out resistance on the hourly chart that would target a rally to 1.05, if broken. “The market may struggle to push decisively higher right now as momentum, while bullish, may not be strong enough to sustain a rally”. Further more, they added, the bullish alignment of the short-term trend momentum studies plus the USD’s push through short-term consolidation resistance in the low 1.04 area yesterday suggests that near-term downside risks are limited and that the directional bias of the market is skewed higher. “Look to buy dips”.
Price action constructive
“Daily price action is constructive for USD/CAD, reflecting the position on the short-term charts noted above. A bullish “hammer” signal formed yesterday, implying that a firm base is in for the USD now, with the market clearly rejecting sub-1.04 levels (firm support noted around 1.0420 previously). Minor resistance at 1.0450 (above) is blocking the topside but we think a push higher to test 1.0500/10—key short-term resistance (trend off the recent highs and channel top) is just a matter of time. We remain bullish"