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Canadian Dollar Might Gain Against The American Dollar

A major breakout occurred from the bullish trend between October 2018 and January 2019. After this breakout, the price of $USDCAD has been ranging on the daily time frame. At the beginning of 2019, the $USDCAD began a bearish movement. This bearish takeover lasted until the first trading week of March before price crossed over to the upper region of the Bollinger bands. On the 19th and 20th of March, price of $USDCAD touched the Bollinger band middle line from the upper region which is an indication for a reversal.

USDCAD Daily Chart

Since December 2018, RSI has indicated the overbought position has been reached. The future of Ichimoku still shows the bullish strength is still active though price is yet to cross to the lower region of the bands. Price of $USDCAD could reach 1.30445 from its current 1.33586. The battle between the $USDCAD bulls and bears in 2019 has been a tough one after price reached the overbought position in 2018. Price of $USDCAD might begin a bearish movement soon and a breakout of the expected support level might push price further downward.