Title
USDCAD H1 | Potential bearish divergence?
Type
Bearish Reversal
Preference:
Price has just reacted off out pivot point of 1.33012 which is a multi swing high resistance level. A reverse from here, price could fall to 1st support at 1.32617 which is an overlap support
Alternative scenario:
However, if price breaks above the pivot it could push to 1st resistance at 1.33694 which is a swing high resistance.
Additionally, the Relative Strength Index (RSI) is displaying bearish divergence versus the price, suggesting a potential reversal in the near future..
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.