FX Path

USD/CAD - Trendline Breakout after Double-Bottom

Posted: 25 Sep 2009 08:32 AM PDT

After forming the potential beginnings of a double-bottom pattern, price action on USD/CAD, a daily chart of which is shown, has risen to make a tentative breakout above a key downtrend resistance line extending from the 1.3060 long-term high reached in March. Currently, a key upside resistance level to watch for is the 1.1120 price region, which represents the rough peak of the potential double-bottom formation. For more technical analysis on this currency pair, please click here for Friday’s (9/25/2009) Chart of the Day.

- James Chen, CTA, CMT

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