04, November 2016

USD/CAD(a 4-hour chart)

General overview

The Canadian dollar was neutral against its American counterpart on Thursday. The dollar remained weak after the disappointing US labor data. Moreover, oil price undertone keeps weighing on CAD.

Current situation

 The neutral phase that started last week is still intact. The USD/CAD is staying around its weekly lows around 1.3360. The price moved back and forth between 1.3400 and 1.3350. The moving averages are neutral in the 1 hour chart. The pair was going lower until it met a barrier around the 200-EMA. The moving rejected the price which returned to the 50 and 100 EMAs region. The resistance is at 1.3400, the support can be found at 1.3330.

MACD indicator is at the centerline. If the histogram remains within the positive territory, that will indicate buyers’ growing strength. If MACD gets into the negative area sellers will take control over the market. The RSI is within neutral area.

Trading recommendations

We will preserve bullish outlook as long as the price holds above it 1.3330.