Forex Trading Technical Analysis (2010/09/02) USD/CAD Settles Above Support
(Please click on the forex chart thumbnail to enlarge)
9/02/2010 Forex Trading Technical Analysis (FXpath.com) – USD/CAD (a 4-hour chart of which is shown) as of Thursday (9/02/2010) has settled above 1.0470 support once again after having just descended from a key resistance re-test in the 1.0670 price region, which formed a double-top high. This all occurs within the context of a short-term parallel uptrend channel extending from the early August low, and after price action broke out above a key downtrend resistance line extending back to the May high. In the event of a pronounced bounce off the current 1.0470 area support, price could once again target the key 1.0670 resistance region. In the event of a strong breakdown below the current support, immediate dynamic support can be found at the bottom border of the current parallel uptrend channel. Further downside support resides around the key 1.0300 price region.
(Price on 1st pane, Slow Stochastics on 2nd pane; horizontal support/resistance levels in yellow; uptrend lines in green; downtrend lines in red; chart patterns in white; 50-period simple moving average in light blue.)
James Chen, CTA, CMT (bio)
- Click here for my book, Essentials of Foreign Exchange Trading (Wiley).
- Click here for my book, Essentials of Technical Analysis for Financial Markets (Wiley).
- Click here for my video DVD set, High-Probability Trend Following in the Forex Market (FXstreet).
No related posts.
Please leave a comment below or subscribe to the feed and get articles like this delivered automatically to your feed reader.
Comments
No comments yet.
Leave a comment