USD/CAD fails to jump back into channel

Source: Dukascopy Bank SA

Positions Today Yesterday % Change
Longs 69% 66% 4.35%
Shorts 31% 34% -9.68%
Indicator 4H 1D 1W
MACD (12; 26; 9) Sell Sell Sell
RSI (14) Buy Buy Neutral
Stochastic (5; 3; 3) Sell Sell Neutral
Alligator (13; 8; 5) Sell Sell Sell
SAR (0.02; 0.2) Sell Sell Sell
Aggregate

In line with expectations, the USD/CAD did not succeed to jump back into a medium-term descending channel. The first attempt was neutralized by a combination of the weekly S2 and the monthly S1 near the 1.2760 mark, while the second attempt was hindered by a release of the US fundamental data in the middle of the day. Most probably, the rate is going to make another attempt to back into the formation after the markets will calm down. However, the success of this endeavor is doubtful, as there is too strong pressure from the top. Therefore, the pair is expected to gradually slide towards the weekly S3 at 1.2664, simultaneously forming a slope similar to what descending triangles have.

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