AUTOREFRESH 
Massive technical rejection in USD/CAD
By Adam Button || December 28, 2011 at 18:27 GMT
|| 3 comments || Add comment
There’s a great deal of convergence on the USD/CAD daily chart.
- The 100-day moving average held as support for the third time in the two months. The two prior tests resulted in 300-pip rallies over the subsequent week. The 100dma was also a particularly good indicator during the 2010-11 downtrend.
- Buyers came in at the uptrend from the previous lows.
- The daily candlestick is showing a significant reversal with a close above 1.0233 as confirmation (spot at 1.0241)
- The pair is forming a wedge that I expect will resolve to the upside in mid-Jan
Adam,
thanks for bringing this development to our attention. Sharp and accurate study.
I was expecting it to drop to nearer 1.0050 as that is the stronger trend support from early September.
May yet come back to that level and fire up again. I would not want to get in now as its between the 21 and 50 averages. And made a big bar to day already.
Dear Adam, can you kindly tell me which software you are using? my 100-SMA is not accurate and so your answer would help alot. Thank you in advance.