USD/CAD: Murrey analysis 24 May 2019, 14:19

USD/CAD: Murrey analysis

24 May 2019, 14:19

Scenario
Timeframe	Intraday
Recommendation	SELL
Entry Point	1.3446
Take Profit	1.3366, 1.3305
Stop Loss	1.3480
Key Levels	1.3305, 1.3366, 1.3427, 1.3488, 1.3550, 1.3672

Alternative scenario
Recommendation	BUY STOP
Entry Point	1.3490
Take Profit	1.3550, 1.3672
Stop Loss	1.3450
Key Levels	1.3305, 1.3366, 1.3427, 1.3488, 1.3550, 1.3672

On the D1 chart, the price again unsuccessfully tested the upper border of the Murrey’s central channel at 1.3488 ([5/8]) and corrected to the midline of Bollinger Bands near 1.3450. Probably in the near future quotes will continue to remain within the central channel of 1.3488 ([5/8])–1.3366 ([3/8]). The level of 1.3427 ([4/8]) is the key for the "bears". After its breakdown, a decline is possible to 1.3366 ([3/8]) and 1.3305 ([2/8]). The consolidation of the price above 1.3488 ([5/8]) will lead to growth to 1.3550 ([6/8]) and 1.3672 ([8/8]), but in the near future, this scenario seems less likely. Technical indicators don't provide a clear signal: Bollinger Bands are directed horizontally, Stochastic has reversed upwards, and MACD histogram is near the zero line, its volumes are insignificant.
Support and resistance
Support levels: 1.3427, 1.3366, 1.3305.
Resistance levels: 1.3488, 1.3550, 1.3672.

Trading tips
Short positions may be opened from the current level with targets at 1.3366, 1.3305 and stop loss at 1.3480.
Long positions should be opened after the price consolidates above 1.3488 with targets at 1.3550, 1.3672 and stop loss at 1.3450.
Implementation period: 3-4 days.