Forex Marketz Daily Forex News – Fully Markets Update
Looking at the U.S. dollar (USD) on the above four (4) USD/CAD MT 4 price chart, the recovery that was seen from 1.3180 continues to fade away and become a memory.
During the early Asian trade session, the almighty American dollar has eased from 1.3234 to 1.3225 as price action is now below the one hundred and two hundred (100, 200) hour exponential moving averages (EMA) and now challenging the upward sloping trend line in play since 21 October.
Today is Election Day in the United States of America. This has been a heated, contentious fight for who sits in the White House for the next four years. Democratic Nominee Joe Biden has a narrow lead over incumbent President Donald Trump in six key swing states and continues to lead the U.S. President in national opinion polls.
Forex traders, and market participants around the world, should understand that the popular vote does not determine who the president will be. The candidate must win 270 Electoral College votes in order to win.
As far as economic data is concerned, the United States will release monthly factory orders. France will publish their monthly government balance budget seat. The United Kingdom and Canada have no macroeconomic data scheduled to be releases on Tuesday.
Daily U.S. Dollar Technical Analysis (USD/CAD)
Looking at the above USD/CAD price action chart, the relative strength index (RSI) is signaling overbought which indicates further weakness for the U.S. dollar against the Canadian currency. With that said, the first downside barrier comes into play at 1.32.
A daily close below 1.32 opens the door to challenge the next downside barrier lining up at the 22 October high price point at 1.3175. The 27 October low price point lining up at 1.3142 then comes into play.
On the upside, a daily close above the 100 and 200 hour exponential moving averages lining up at 1.3230 will bring the technical layers of resistance lining up at 1.3275 then 1.3280 into focus.
There is an upside congestion zone in play at 1.3345 to 1.3350 then the October monthly high price point at 1.3390 then popping up on the radar.
