USDCAD Forecast | Bank of Canada rate cut bullish for USDCAD | IFCM UK

Technical Analysis USDCAD : 2020-03-30

Recommendation for USD/CAD:

Strong SellSellNeutralBuyStrong Buy

Above 1.4167

Buy Stop

Below 1.4011

Stop Loss

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Senior Analytical Expert
Articles 1555
RSI Neutral
Donchian Channel Buy
MA(200) Sell
Fractals Neutral
Parabolic SAR Buy

Chart Analysis

IFC Markets Tech Analysis

On 1-hour timeframe USDCAD: H1 is rising toward the 200-period moving average MA(200) which is levelling off. We believe the bullish movement will continue after the price breaches above the upper bound of the Donchian channel at 1.4167. A level above this can be used as an entry point for placing a pending order to buy. The stop loss can be placed below 1.4011. After placing the order, the stop loss is to be moved to the next fractal low, following Parabolic signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level without reaching the order, we recommend cancelling the order: the market has undergone internal changes which were not taken into account.

Fundamental Analysis

Bank of Canada cut interest rates as many expected. Will the USDCAD reverse its slide?

Bank of Canada cut interest rates on Friday by a half percentage point to 0.25 percent. This is bullish for USDCAD.

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