Get below the 100 hour MAThe USDCAD fell in afternoon trading on hawkish comments from Canada FM Morneau. The fall lower toke the price of the USDCAD down to the 100 hour MA (blue smooth line currently at 1.23463). The price dipped below the line…It tried to break, but the sellers could not keep the momentum going. The price rebounded in the Asian and London morning session.
That rally took the price toward the high from yesterday at 1.2412. That level was also a few pips short of the 200 bar MA on the 4-hour chart (green step line currently at 1.24118) and held. Seller leaned and the price started to come down.
Is the high now in place?
It seems that way.
- Double top
- Hold below the 200 bar MA on the 4-hour chart.
We are not retesting the 50% of the move down form the August 30 high at 1.23629. That is a key level to help solidify, the «high is in place» idea.
Also of importance for that idea is a break below the 100 hour MA currently at 1.2346. Get and stay below that level and more and more traders will be hoping on the move down bandwagon.
So there is some signs the high is in place, but there is work to do.