Mon 7th November 2022

Today, Our Daily Currency Strength Weakness Video will focus on:

  • USDCAD
  • NZDUSD

Charts Provided by Charles Clifton

Daily Analysis By Jon Kibbler

USDCAD- Will The Price Trade Lower?

In today’s currency strength video we identified that the USD has returned to the weak side of the tables at W1.

The CAD (S3) and NZD (S1) are on the strong side of the tables highlighting the risk sentiment in the market. 

The currency strength indicator tables show the market is favouring the risk assets seeing the haven currencies such as the USD, JPY and CHF appear as the weakest.

The last time USDCAD featured on the tables was last week suggesting the currency pair could move lower. 

Price did find resistance back up at the 1.3800 handle falling over 300 pips. 

Currently the price is trading at the key lows of 1.3500, but this level could be breached opening up a move o the next support of 1.3200.

Currency Strength Analysis | USDCAD | Daily Professional Trading Charts and Analysis | Forex, Indices, Commodities and Crypto Markets | Charles Clifton Forex Trader

Technical Observations

  • The USD is W1 on the trend table and the CAD is S3 on the trend tables.
  • Currently the price is trading at the neckline of a head and shoulders pattern at 1.3500.
  • These patterns can suggest the market is going to reverse it’s current trend.
  • The larger Monthly time frame shows price is in a range. 
  • The rejection of the 1.3800 level shows sellers are active at higher prices.
  • A break below the 1.3500 handle could invite selling pressure with support below at 1.3200.
  • Breakout traders could wait for the break and close below the lows.
  • Alternatively conservative traders could wait for a stronger downward trend to develop to add further confluences.

Stay up to date LIVE 27/4 Trading Calendar HERE