S&P500 in ascending triangle, trading long on WTI Crude Oil? CAD interest rate in focus [Video]
|Last time, we spotted a buy-the-dip opportunity on the S&P500 with price action here and the stochastic oscillator here.
Since then, price action on the S&P500 has risen into this ascending triangle and the stochastic oscillator has moved up into overbought territory.
We expected that last week’s rally on WTI crude oil was short-lived and price action has opened lower today.
The stochastic oscillator may be telling us that the latest fall might be stalling.
If we move out to the daily chart we see a similar situation with our technicals and where price action has just reached the lower trend line.
However, don’t open a long position until you see some confirmation and check the latest news from the Middle East.
USD is consolidating now ahead of the American elections 5 November so be aware of false breakouts.
However, we may see some volatility on CAD with an expected 50-basis point cut in Interest Rates.
Watch this, and the price of WTI on Wednesday, as we are seeing recent CAD weakness.
For example, on EURCAD, we see price action in the middle of a range and the stochastic oscillator looking very overbought.
That’s all for now.
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