“The Canadian one dollar coin, commonly called the loonie, is a gold-coloured one-dollar coin introduced in 1987. It bears images of a common loon, a bird which is common and well known in Canada.”
We’ve looked at this USD/CAD weekly chart before, with the main feature I want to highlight on the weekly, being the strong bullish trend.
These key trend lines just seem to grip price every time it tries to pull back, and are telling bullish signs that can’t be ignored. When price tries to resume to the upside, in the direction of the higher time frame trend, it will inevitably hit short term resistance points, but it’s not always wise to be selling into them.
While of course it’s not a rule to be followed blindly, it’s always nice to know that your day trading scenarios are in the direction of the higher time frame trend.
And with price pulling back to yet another trend line support variant, this is most definitely an area of interest when it comes to looking for long positions.
I say area of interest rather than just take the trade because we don’t have a glaringly obvious horizontal support level to be managing our risk around. So for me it’s now about waiting to see what price action does on the intraday charts and then look for an entry on any short term retests IF support holds.
Do you see opportunity trading USD/CAD? Start trading forex, with the best Australian forex broker Vantage FX.
Dane Williams – @VantageFX
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