AUD/CAD psar bull signal

The Australian-Canadian dollar currency pair (AUD/CAD) is showing a psar bull signal, accompanied by a pps bull signal.

The macd has been in bull territory since Tuesday, and the sto is in the neutral zone heading up toward the zero line.

The adx, however, at only 14 is quite low, suggesting the absence of a strong trend. Indeed, the price action from the Nov. 10 high  of 0.9915 suggests formation of a descending triangle that will signal continuation of a decline.

The width of the triangle's left side is 0.0663, suggesting a decline to 0.8589 when the triangle is complete.

You are here:

• Resistance
• 0.9718, +3.4%
• 0.9625, +2.4%
• 0.9431, +0.4%
• Now 0.9397
• Support
• 0.9285, -1.2%
• 0.9254, -1.5%

The triangle formation and the low adx suggest to me that the psar signal is not credible.

Abbreviations:

psar - Parabolic Stop and Reverse
adx - Average Directional Index
pps - Person's Proprietary Signal
ma20 - 20-day moving average
macd - Moving Average Convergence-Divergence
mfi - Money Flow Index
sto - Fast Stochastic





New to Private Trader? Check out the Reader's Guide.

New to private trading? Here's a look at How to Become a Private Trader.