Wednesday, October 10, 2012
Morning Market Analysis
The top chart shows the daily Canadian market, which has moved through resistance, but has since sold off in a disciplined, downward sloping channel. Note the horizontal nature of the 10 day EMA. Expect prices to retreat to at least the levels established in late April. The lower chart shows that the Canadian market has been trading between the 24 and 29 price level for the last year.
Interestingly, the above weekly chart of the Canadian dollar tracks the weekly Canadian stock market.
The daily and weekly Mexican market chart has rallied above resistance areas. On the daily chart, notice the positive EMA picture while the lower chart has a strong MACD reading. This is a chart with strong upside potential.