USDCAD Breakout Has Arrived

• 29 Apr 2021

USD/JPY

The USDJPY has failed to clear the 108.55 price line, suggesting that current support for a resumption in the rally remains weak. The pair may now trade horizontally, moving towards the ascending trendline, where typically, bullish rebounds take place. Momentum indicators have stalled in bearish territory. 

 

 

 

 

GBP/USD

The GBPUSD pair is starting to build momentum towards the 1.413 price line which was the obstacle leading to a pullback in the previous rally. Since, price action has moderated and the trendline will continue to act as a support area. Momentum indicators are bullish.  

 

 

 

 

 

EURUSD

The Eurodollar is moving closer to the 1.217 resistance area, which has been a significant obstacle in the past and facilitated the most recent sell-off in the pair. Momentum indicators have sharp upward trajectories with RSI testing the overbought line.  

 

 

 

 

USDCAD

The USDCAD has broken both the 1.239 price level as well as the descending trendline in a strong bearish move in yesterday’s trading. The pair has now reach new price lows and the question is whether the bearish momentum will continue. Momentum indicators are bearish. 

 

 

 

 

XAUUSD

XAUUSD has been contained at the 1794.66 price level and despite several tests of the ascending trendline, the bullish trajectory has found support. Another test of the resistance area is likely. Momentum indicators have flattened in bullish territory. 

 

 

 

 

USOUSD

USOUSD bullish breakout has arrived, albeit with low conviction. The commodity may now go on to test the upper bound of the psychological $60 per barrel range. Given the length of time the rally has been sustained, significant bearish conviction would be required to reverse price action. Momentum indicators are bullish.