News Column

USD/CAD Bullish Engulfing Pattern Puts Recovery On The Cards

May 12, 2014

David de Ferranti

Talking Points



  • USD/CAD Technical Strategy: Sidelines Preferred
  • Bullish Engulfing awaits confirmation
  • Four hour chart suggests indecision near 1.0900





    USD/CAD has reversed course following a break below the 1.0860 mark. The recovery in prices has prompted the emergence of a Bullish Engulfing candlestick pattern which suggests further gains may be possible. However, given past price action suggests the potential emergence of a downtrend, it remains to be seen whether this is a mere corrective bounce within the broader trend. Confirmation from a second successive up-day would help validate the signal.





    USD/CAD: Key Reversal Pattern Emerges As Bulls Return

    USD/CAD Bullish Engulfing Pattern Puts Recovery On The Cards





    Several Doji formations near the critical 1.0900 mark suggests that the bulls have seemingly lost steam in intraday trading. This suggests a push past the resistance level may be preferred before looking at longs.





    USD/CAD: Hanging Man Delivers Drop

    USD/CAD Bullish Engulfing Pattern Puts Recovery On The Cards









    Follow David on Twitter: @Davidde





    Learn how to read candlesticks to help identify trading opportunities with the DailyFX Candlesticks Video Course.










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    Source: DailyFx


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