Uptrend this week!!! Uh… no. Not really.
I don’t get it. Marketwatch also reported: “The dollar [B]USDCAD, +0.29%[/B] rose to 1.165 Canadian dollars, its highest level since last Wednesday.”
This pair broke new 7-day highs back on the 28th of November and did it again on December 1, 5, 8, 9, 10, 11, 12, and 15 and has not broken higher than the 15th high since.
Thus, on Wednesday, Thursday, and Friday this pair posted lower highs than the previous session. Only today did it post a higher high than the previous session by a mere 8.7 pips, failing to break above the highs of last Monday, Tuesday, Wednesday, or Thursday. It stopped 28.8 pips short of the current 7-day high. And the volatility fell from a 226 pip 3-day range to an 82 pip 3-day range from last Monday to today. (I understand it DID go slightly higher than Thursday in some markets, but by a single digit).
This pair has certainly been trending upward, but that begin weeks ago and the last five sessions have shown no confirmation whatsoever that the trend is continuing or has become stronger. True THC will kick in if the pair goes above the highs of the 15th.
An arbitrager on acid must see past the hype.
While I am long this pair and agree that the trend is up, today’s session gives no new information to trade on.