USD/CAD reached a key level of resistance on the D1 timeframe.
What others are predicting
We see other traders’ analysis on the live trading charts, that show:
ENTRY TO SELL = IF THE BLUE ZONE IS BROKEN DOWN
TP IS SHOWN IN FIG
SL = ABOVE THE BLUE ZONE 1. Rompe tendencia alcista en W 2. Rompe tendencia alcista en D 3. Punto de entrada en resistencia entre niveles 61.8 – 71.0 This week, as we noted yesterday, will not be rich in fundamental events, so markets have focused on the trade war.
China deal is likely to be signed in November. Added to this positive news the information that the United States may not set tariffs on imported cars from Europe and Japan.
Naturally, the safe-haven assets adjusted against this background. Despite yesterday’s decline, we continue to recommend the purchase of gold and the Japanese yen . Entry points based on yesterday have become even more attractive.
Therefore we observed the growth in the commodity markets. Recall, we recommend buying oil in the region of $ 60 (brand WTI). Especially when you consider the latest news that the IPO Saudi Aramco is finally completing its long epic. With the current information, on December 11, shares of the company can be offered for trading on the Riyadh Stock Exchange.
Returning to the foreign exchange market, we note that the dollar looks less strong in the foreign exchange market. According to the Commodity Futures Trading Commission (CFTC), speculative rates on the growth of the dollar on the Chicago Mercantile Exchange fell by almost two-thirds. Thus, speculators sell the dollar for the second week in a row, and if this trend develops, then in the next reporting period its net position may become short.
So we recall our recommendation to sell the US dollar . The sale of USDCAD seems to be promising. According to CFTC, the net long speculative position on the Canadian dollar reached its most bullish level since December 2017. That is, the markets are very aggressive and it is worth to join the general rush. However, sales of the dollar against the yen, the euro and the pound also look quite prospective.
As for today, the Reserve Bank of Australia expectedly left the rate unchanged. And the most interesting event in terms of macroeconomic statistics today is the publication of the ISM index of business activity in the US services sector. Also, pay attention to the data on the US trade balance.
Here are my thoughts!
Price has reached a key resistance level on the D1 timeframe
