Forex Marketz Daily Forex News – Fully Markets Update
Looking at the U.S. dollar (USD) and the above USD/CAD daily MT 4 price action chart, this Forex market is trying to mount a challenge of the key upside barrier in play at 1.32 during the early Asian trade session on Wednesday.
The almighty dollar is finding resistance at the short term 21 and fifty (50) day simple moving averages (SMA). The USD/CAD currency exchange rate needs to see a daily close above this area before challenging 1.32.
Forex traders should note that the Canadian dollar (CAD) is under pressure along with the West Texas Intermediate (WTI) crude oil futures.
Forex traders will be focusing on the Bank of Canada today. The Canadian central bank will announce their overnight cash rate and monetary policy decision. The Bank of Canada will also publish their monetary policy statement and hold a press conference.
There is nothing on the economic calendar for the United States or the United Kingdom today. The European Union also has a light economic calendar today. With that said, France is getting ready to announce a possible month long national lockdown to try and stop the recent surge with new coronavirus pandemic (Covid-19) cases.
Daily Canadian Dollar Technical Analysis (USD/CAD)
Looking at the above daily MT 4 price chart, there is a good deal of upside technical resistance lining up at the 21 and 50 day simple moving averages. A daily close above these areas will open the door to challenge the technical resistance level that lines up at 1.3212.
The 14 day relative strength index (RSI) is trading flat and below the midline, which is keeping the bears in the picture for now. Price action is also trading below all the major simple moving averages.
On the downside, the first downside barrier to monitor lines up at the key psychological level in play at 1.3150. The next layer of technical support lines up at the 23 October low price point at 1.3110/09.
