empty
 
 
18.03.2022 07:19 PM
USD/CAD aims at 1.2586 lower low

The USD/CAD pair drops at the time of writing. It's trading at 1.2623 level and it seems very heavy despite the temporary rebound. The price turned to the upside and it has managed to recover only because the Dollar Index rebounded after reaching 97.73 key level.

The bias is still bearish as CAD received a helping hand from the Canadian retail sales data. The Retail Sales indicator rose by 3.2% in January versus 2.4% expected and after a 2.0% drop in December. Furthermore, Core Retail Sales surged by 2.5% exceeding the 2.3% forecasts. Fundamentally, the USD received a hit from the US Existing Home Sales which dropped from 6.49M to 6.02M below 6.10M estimates.

USD/CAD Down Channel!

This image is no longer relevant

As you can see on the h4 chart, USD/CAD drops within a down-channel pattern. As long as it stays below the downtrend line and under the median line (ML). In the short term, it has tried to recover after its amazing sell-off.

1.2586 lower low is seen as a potential downside target. Only a major and strong bullish reversal signal around this level could announce that the sell-off is over. Actually, the down channel could represent a bullish pattern.

USD/CAD Outlook!

The currency pair could announce a new leg higher and could bring fresh long opportunities if it stays above the 1.2586 and if it makes a valid breakout above the downtrend line and through the median line (ML).

A valid breakdown below the 1.2586 could activate a larger downside movement.

Gana con los cambios en el valor de las criptomonedas con InstaForex.
Descarga MetaTrader 4 y abre tu primera operación.
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    UNIRSE AL CONCURSO
  • Depósito al azar
    ¡Haga un depósito en su cuenta de $3,000 y obtenga $1000 más!
    ¡En Octubre, sorteamos $1000 dentro de la campaña Depósito afortunado!
    Obtenga la oportunidad de ganar depositando $3,000 en una cuenta de operaciones. Tras haber cumplido esta condición, se convertirá en un participante de la campaña.
    UNIRSE AL CONCURSO
  • Opere de forma inteligente, gane un dispositivo
    Recargue su cuenta con al menos $500, regístrese en el concurso y tenga la oportunidad de ganar dispositivos móviles.
    UNIRSE AL CONCURSO
  • 100% de bonificación
    Su oportunidad única de obtener un bono del 100 % en su depósito
    OBTENER BONO
  • 55% de bonificación
    Solicite un bono del 55% en cada depósito
    OBTENER BONO
  • 30% de bonificación
    Reciba un bono del 30% cada vez que recargue su cuenta
    OBTENER BONO

Recommended Stories

¿No puede hablar ahora mismo?
Ingrese su pregunta en el chat.
Widget callback