USDCAD: Selling Opportunities For Day Traders

Fri 27th January 2023 : Daily Currency Strength Analysis

In Today’s Video we’re looking at Trading Setups in:

• USDCAD
• AUDUSD

USDCAD: Selling Opportunities For Day Traders

In today’s currency strength video we identified that the United States Dollar (USD) remains on the weak side of both tables, and the Canadian Dollar (CAD) has appeared on the strong side of the day traders table.

The price of USDCAD on the weekly time frame shows the price formed a lower high around 1.3700.

When the price does this we can often see it return to the previously formed lows, in this case the lows of 1.3250.

On the daily chart the price has traded through the recent lows suggesting the market could trend lower.

This could offer selling opportunities for day traders.

Technical Observations

• The CAD is S2 and USD is W3 on the day traders table.
• Price has formed a weekly lower high at 1.3700. 
• Price then traded through the key level of 1.3500 forming new lows.
• This then acted as resistance for the price.
• The daily candle closed below the previous lows offering opportunities for a trend continuation.
• Sellers should look to target the lows of 1.3250 which holds confluence with the Daily 200 Moving Average.