Price action on USD/CAD, a daily chart of which is shown, has finally reached a key downtrend resistance line extending from the fourth test of 1.3 back in March. After reaching up to touch this line precisely yesterday (06/25/2009), the pair has tentatively respected the trendline by bouncing down off of it. This bounce occurs after a substantial bullish correction extending from the 1.0800 lows, and signifies that this pair is still entrenched in a valid overall downtrend. Barring any breakout to the upside of this trendline, a major downside support target off this bounce resides in the 1.1300 price region. In the event of a subsequent breakout above the trendline, further key upside resistance resides in the 1.1800 support/resistance region.
FX Path
Subscribe
Categories
Archives
Recent Comments
- Forex Broker Analysis on EUR/USD - Heading for 1.4500, Correction Due
- Sanjay on EUR/USD - Heading for 1.4500, Correction Due
- ig index on EUR/CHF - Hits Support within Bearish Trend
- Wilson on Technical Carry Trade Articles
- dpinkert on USD/JPY - Breakout to the Upside
Tags
FXstreet.com Weblogs
Links
Technical Trading Tips and Techniques by 
