USD/CAD Failed at the 200 SMA in the First Attempt

USD/CAD failed to break above the 200 SMA on the H1 chart and has turned lower now

The downtrend continues for this pair

[[USD/CAD]] has been really bearish since March 20, follwing the 15 cent surge higher earlier that month. We have seen 2 strong declines but overall, the trend has been steady, with highs getting lower and lows falling lower as well, losing more than 15 cents from the top.

On the daily chart, the 20 SMA was providing resistance, while on the smaller charts, all MAs have taken their turn. Earlier this month, the price moved above moving averages, but returned back down as the USD weakened considerably during this time.

Although, we saw a reversal yesterday as the USD springed back to life. USD/CAD climbed more than 100 pips higher, moving above the 50 SMA (yellow) and he 100 SMA (green). But the 200 SMA (grey) sopped the climb for the second time, after doing so more than a week ago. Now the price has reversed downand is trading at the 100 SMA. Actually, the 100 SMA has ben broken, so the retrace higher is over.

ABOUT THE AUTHOR See More
Skerdian Meta
Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.

Related Articles

Comments

0 0 votes
Article Rating
Subscribe
Notify of
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

HFM

Doo Prime

XM

Best Forex Brokers