WEEKLY FOREX ANALYSIS
23 December to 27 December
Timeframe Week Analysis
The Canadian Dollar was held to a tight range in 2019 versus the US Dollar, amid a flurry of conflicting fundamental and technical themes. While little progress was made compared to the first few days of the year, USDCAD was able to establish a series of lower highs over the months, which align with the pair’s longer-term downtrend dating back to 2016. Now, USD/CAD is in position to probe an ascending trendline from September 2017 in a move that could see the pair extend its longer-term losses into the new year if bears are successful.
In a weekly timeframe, we can see USDCAD is starting to form an inverted Head & Shoulders. While it is still too early to tell at this moment, I noticed that there is a very strong resistance and supply area between the prices of 1.30941 to 1.30451
Timeframe H4 Analysis
In a H4 timeframe, USDCAD has testing 1.30941 to 1.30451 and has been unable to break the 1.31785. You do want a confirmation that USDCAD in H4 is able to close a candle about 1.31785 before attempting a Buy Trade
Timeframe H1 Analysis
We can see that a double bottom has been formed and there is a likelihood that the prices are gonna break 1.31785 and hold. This is the week of seasons, so there might be a chance that we will only see it next week.