Tuesday December 2, 2008 - 16:59:20 GMT
Share This Story
FX Solutions - www.fxsol.com
Chart of the Day - 12/02/2008 - USD/CAD
(Chart courtesy of FX Solutions' FX AccuCharts. Price on 1st pane, Slow Stochastics on 2nd pane; uptrend lines in green; horizontal support/resistance levels in yellow; 50-period simple moving average in light blue.)
12/02/2008 â€“ USD/CAD â€“ The key USD/CAD pair (a daily chart of which is shown) is giving off some clear, yet conflicting, technical signals. After coming down from a rather precise double test of the 1.3000 price region, the pair has settled down somewhat to adhere to a significant uptrend support line (the steeply angled green line) that began back in late September. A true double top formation, of course, would not be confirmed unless price dropped below the trough between the double peaks. The level of this trough is approximately 1.1470, which is around 1000 pips below the current price. In the meantime, as mentioned, price is currently respecting the dynamic support offered by the steep uptrend line after dropping from the second peak of the double test. Any continued upward momentum could once again target the 1.3000 region. Somewhat more likely from a technical perspective, however, we should eventually be seeing a breakdown of the uptrend support line, in which case price should initially target the 1.2100 level, a key prior support/resistance region.
Chief Technical Strategist
IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by FX Solutions, LLC., and/or its affiliates, and is not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.
Forex Trading News
Daily Forex Market News
Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."