USDCAD Dynamic Resistance|Weekly S/R|21 MA|Technical Divergence

2020年9月6日Evening Traders,

Today’s analysis – USDCAD – consecutive lower highs into weekly S/R, price is likely to pivot.

Points to consider,
- Trend bearish (dynamic resistance)
- 21 MA resistance ( confluence)
- Weekly S/R (key support)
- Oscillators technical bullish divergence
- .50 Fibonacci target

USDCAD’s immediate trend is bearish until the dynamic resistance is breached. The 21 MA has been holding price down, in confluence with dynamic resistance, price breaking this will likely lead into a price expansion.

The weekly S/R is a major technical level that price is testing; this is a pivot as price is coiling in its apex. A break in either direction will be noticeable.

The oscillators both have a technical bullish divergence, this increase the probability of breaking bullish, however confirmation will still need to be on a break of dynamic resistance.

Overall, in my opinion, USDCAD is a valid long after breaking key resistance. Price action is to be used upon discretion/ management of trade.

Hope this helps!

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And remember,

“Trading doesn't just reveal your character, it also builds it if you stay in the game long enough.” ― Yvan Byeajee