Thursday, May 22, 2014

USD/CAD Capped Near 1.0940 As Doji Forms On Daily




Talking Points



  • USD/CAD Technical Strategy: Sidelines Preferred


  • Doji suggests signs of hesitation from traders near 1.0940


  • Bearish pattern on four hour chart may find little follow-through


USD/CAD continues to be capped by the 1.0940 mark as a Doji on the daily suggests some hesitation from the bulls. However, at this stage a bearish candlestick pattern is absent which precludes a potential correction back to support at 1.0815.



USD/CAD: Bulls Lose Steam Near 1.0940


USD/CAD Capped Near 1.0940 As Doji Forms On Daily


Daily Chart – Created Using FXCM Marketscope 2.0



Intraday price action has resulted in the formation of a Dark Cloud Cover pattern on the four hour chart. However, with buyers likely looking to support prices at 1.0900, further falls in the session ahead may be limited.



USD/CAD: Dark Cloud Cover May Find Limited Follow-Through with Support Nearby


USD/CAD Capped Near 1.0940 As Doji Forms On Daily


4 Hour Chart – Created Using FXCM Marketscope 2.0



By David de Ferranti, Market Analyst, DailyFX



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USD/CAD Capped Near 1.0940 As Doji Forms On Daily

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