Category: Break out
Entry: 0.8245
Target: 1
Stop: 0.75
Risk/reward-ratio: 1.7:1
Stopmanagement: ATR Stop monthly chart default settings
Intermarketanalysis: Historically the CADUSD has a close relationship with the direction of the commodity market (see correlation coefficient between CADUSD and CRB) and if we look at the CRB-index we see that is has broken a downtrend which was intact since 2008. Also, Canada is one of the few countries which started with tapering what is bullish for the Canadian currency because it attracts foreign money. And if we see a sustaining uptrend in inflation the commodity market will benefit from it as it is seen as a classic hedge against inflation which again will a drive for the Canadian economy as it is profiting hugely from the export of commodities.
Chartanalysis: CADUSD has formed a double bottom and is now about to break out of a significant resistance. The further uptrend is also supported by the move of the MACD above the baseline
Entry: 0.8245
Target: 1
Stop: 0.75
Risk/reward-ratio: 1.7:1
Stopmanagement: ATR Stop monthly chart default settings
Intermarketanalysis: Historically the CADUSD has a close relationship with the direction of the commodity market (see correlation coefficient between CADUSD and CRB) and if we look at the CRB-index we see that is has broken a downtrend which was intact since 2008. Also, Canada is one of the few countries which started with tapering what is bullish for the Canadian currency because it attracts foreign money. And if we see a sustaining uptrend in inflation the commodity market will benefit from it as it is seen as a classic hedge against inflation which again will a drive for the Canadian economy as it is profiting hugely from the export of commodities.
Chartanalysis: CADUSD has formed a double bottom and is now about to break out of a significant resistance. The further uptrend is also supported by the move of the MACD above the baseline