FxWirePro: USD/CAD forms Bearish pattern, good to sell on rallies
Harmonic pattern formed – Bearish AB=CD pattern. Potential reversal Zone (PRZ) -1.35390. USD/CAD formed a min or bottom around 1.3387 and shown a minor jump from that level. The pair formed a potential bearish AB=CD patt…
USD/CAD formed a min or bottom around 1.3387 and shown a minor jump from that level. The pair formed a potential bearish AB=CD pattern and is expected to get completed at 1.35390 level. Short-term trend is slightly bullish as long as resistance 1.3560 (200 4H EMA) holds. It is currently trading around 1.34687.
WTI Crude oil shown a minor jump above $50 and shown a decline from that level. The commodity took support near 50% fibo and slight weakness can be seen only below that level.
USD/CAD major short term resistance is around 1.3560 (200 4H MA) and any break above confirms minor bullishness, a jump till 1.3595/1.3640 likely.
On the lower side, loonie major support is around 1.3380 and any break below confirms that jump from 1.2964 comes to an end at 1.37935 and dip till 1.3285 (200- day MA)/1.3220 likely.
It is good to sell on rallies around 1.3530-1.3535 with SL around 1.3565 for the TP of 1.3410/1.3290.
