Figure: USDCAD daily chart
There has been a strong bullish rally in the USDCAD pair in the last week since the dollar becomes broadly stronger against its all major rivals in the financial industry after the interest rate hike decision. The pair tested the 1.33925 resistance level and failed to move higher on the daily chart. More importantly, the Canadian dollar is also stronger at the current moment as OPEC cap the oil production which brought strong rally in the oil price. The pair has formed nice bearish pin bar at the critical resistance level at 1.33925.Though it's a nice bearish setup in the daily chart many professional traders are not selling this pair at the current moment since they are waiting for the weaker dollar in the market. If the critical resistance level at 1.33925 holds then the pair will fall towards the next critical support level at 1.32527.From that level, we are going to see some bullish momentum in the USDCAD pair however if the pair mange's to breach that critical support level then we will see a nice bearish move in the USDCAD pair towards the next critical support level at 1.30765.
In order to consider the bullish scenario for the USDCAD pair, it needs to break the first critical resistance level at 1.33925.A clear break of the price above that level will bring strong bullish rally in the USDCAD pair towards the next critical resistance level at 1.34632.This level is going to provide a significant amount of selling pressure to the USDCAD pair and the pair is most likely to fall from that level. A valid break of that resistance level will bring the bulls back again in the market and we will see a strong bullish rally in the pair. Considering all the parameter the overall bias remains slightly bearish for the USDCAD pair at the current moment. Aggressive traders are already short in this pair with the daily bearish pin bar. The first potential take profit level is at 1.32525.NZDUSD technical analysis: 19th December -23rd December
Figure: NZDUSD daily chart
There has been a sharp fall in the NZDUSD pair in the last week and the pair broke the key low at 0.69704.This level was a significant level on the daily chart and with a clear break of this level, the over bias has turned strongly bearish for the NZDUSD pair. Currently, the pair is targeting the next key support level at 0.69164.This level is going to provide a significant amount of buying pressure to NZDUSD pair since this level is further strengthened by the 50 % Fibonacci retracement level drawn from the low of 20th January 2016 to the high of 7th September 2016.If the support level holds at that point the pair will strong rally upward toward the first critical resistance level at 0.70529.A clear break of that level will lead the pair towards the next critical resistance level at 0.72391
After the recent break of the daily low, the pair is now leading towards the next critical support level. Professional traders are looking to sell the pair with some minor bullish retracement in the daily chart. The first selling level for the NZDUSD pair remains at the critical resistance level at 0.70529.Professional price action trader will be looking for bearish price action signal in the chart to enter short in this pair. However, we are not going to see plenty of movement in the NZSDUSD chart in the upcoming week since the market has absorbed all the economic hits in the market. Considering all the parameter we will be looking to sell this pair at the higher price with bearish price action confirmation signal.GBPUSD technical analysis: 19th December -23rd December
Figure: GBPUSD daily chart
The Great Britain pound started its bullish recovery after hitting the critical low at 1.19163 after the Brexit event. From that point, the pair started its bullish correction in the market and hit a critical resistance level at 1.27712.After hitting the critical resistance level the pair again sharply fell on the daily chart. In the last week, the pair broke the minor bullish trend line in the daily chart. After breaking the critical trend line support at 1.25227.This level was very significant in the daily chart since the bullish retracement was forming a nice bullish trend line in the daily chart. After it went below the trend line the market sentiment turned strongly bearish. Professional traders will be looking to sell this pair with bearish price action signal near the broken trend line support which turned into resistance at 1.25224.However, if the price goes above that resistance line then we will see strong bullish move in the GBPUSD pair towards the next critical resistance level at 1.27839
The first bearish target for the GBPUSD pair would the key support level at 1.22927.This level is going to provide a decent support to GBPUSD pair. A clear break of that support level will bring strong bearish pressure in the market which will ultimately lead this pair towards the key support level at 1.19163.This level is going to play a major role in the next movement of the GBPUSD pair since lots of traders will enter long in the GBPUSD since this is the key low of the market. But long entry should be executed with proper bullish price action signal in the market. Considering the over situation the GBPUSD pair remains strongly bearish at the current moment.