| Indicator | 4H | 1D | 1W |
| MACD (12; 26; 9) | Buy | Sell | Buy |
| RSI (14) | Sell | Neutral | Neutral |
| Stochastic (5; 3) | Sell | Sell | Sell |
| Alligator (13; 8; 5) | Buy | Sell | Neutral |
| SAR (0.02; 0.2) | Buy | Buy | Sell |
| Aggregate | ⇘ | ⇘ | ⇒ |
The Canadian Dollar has been trading in a channel up against the Japanese Yen during the past nine months.
After testing the upper boundary mid-September, the Loonie began its way towards the southern side, thus forming a junior channel in the opposing direction. The senior pattern was reached on November 29 and re-tested once again on Tuesday.
As apparent on the chart, the Loonie has strengthened significantly during the past sessions. As a result, it breached a trend-line (in red) and dashed through several significant resistance levels.
There is still some slight upside potential until the 88.60 area. The base scenario, however, favours a subsequent reversal from the junior channel and a period of decline. It is likely that bears prevail until the 55-, 100– and 200-hour SMAs are reached circa 87.80.