Looking at the U.S. dollar (USD) on the above USD/CAD hourly MT 4 price chart, the Canadian dollar (CAD) has gained some ground pushing the benchmark USD/CAD currency exchange rate lower.
The Almighty dollar, the world’s go to currency reserve, is trading below 1.3175 but still within a four day old symmetrical triangle chart pattern.
The dollar could see some price volatility as the United States has some economic data on the schedule. The monthly Empire State manufacturing index is scheduled for release as well as monthly import prices.
The United States will also publish monthly industrial production data as well as their capacity utilization rate. Canada is releasing monthly manufacturing sales data.
The European Union will release their monthly ZEW economic sentiment survey as will their largest economy, Germany. The United Kingdom is publishing key labor data. The United Kingdom will release their monthly claimant count change, unemployment rate and their monthly average hourly change rate (three month).
Daily Canadian Dollar Technical Analysis (USD/CAD)
Looking at the above hourly price action chart, the MACD histogram is still not showing any clear directional cue. However, the USD/CAD Forex market is still trading above the two hundred (200) hour moving average. That is a good sign for the bulls.
With that said a clear break and sustained close above the triangle resistance is needed for the bulls to really enter the market. This upside barrier is in play at 1.3188. The next upside barrier lines up at 1.3208 with the technical upside barrier in play at 1.3230 the coming into focus. The next upside barrier lines up at 1.3260.
On the flip side a daily close below the downside triangle support lining up around 1.3165 is needed to test the 200 hour moving average. That layer of technical support lines up at 1.3142. The next layer of technical support lines up at 1.3130 with 1.3095 then popping up on the radar.