CADSGD closes within prior day's range
Canadian Dollar/Singapore Dollar (CADSGD) Technical Analysis Report for Feb 25, 2020 | by Techniquant Editorial Team
CADSGD ended Tuesday at 1.0535 gaining 6 pips (0.06%) on high volume. Trading up to 24 pips lower after the open, CAD/SGD managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on February 21st, CADSGD actually lost -0.38% on the following trading day. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (CADSGD as at Feb 25, 2020):
Tuesday's trading range has been 43 pips (0.41%), that's slightly below the last trading month's daily average range of 45 pips. Things look different on the weekly timeframe, where the market's trading range of the last week has been way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for CADSGD.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Spinning Top" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for CAD/SGD. Out of 271 times, CADSGD closed lower 53.51% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 54.24% with an average market move of -0.13%.
With five out of the seven Major FX Pairs closing lower today, the ones that stand out on the negative side are USDJPY losing -0.47% and NZDUSD closing -0.3% lower. On the flipside the best performers have been GBPUSD closing 0.58% higher and EURUSD gaining 0.25%. Looking at the other Minor FX Pairs and Crosses, the winners of the day have been GBPZAR surging 1.14% and GBPNZD closing 0.89% higher. The worst performers of the day have been ZARJPY tanking -0.96% and TRYJPY closing -0.88% lower. Read more