FX.co ★ USD/CAD

30-minute chart Analysis: The 30-minute chart, however, shows a turning point in which momentum appears constricted. The MACD (12,26,9) histogram is close to zero, showing uncommitted flow following the failure of a recent bullish attempt to maintain above $1.4075. The Parabolic SAR (0.02,0.2) has also turned about recent candles and is now trending at about $1.4060, showing bearish micro-control. The market tug-of-war is apparent as buyers hold firm at $1.4028 and sellers continually push against the upside at $1.4072. The contracting gap between the MACD lines indicates breakout power in the making. But candlestick analysis shows indecision — top wicks bunch around $1.4065, showing intraday bull profit-taking, and small drops invite buying dips around $1.4030. This rest-and-repeat action captures compression ahead of volatility expansion. MACD lines are still nearly entwined, confirming equilibrium. Short sellers watch closely for a crossover above the signal line, which, with the introduction of a new SAR reversal below price, may trigger bullish continuation towards $1.4095.

During this time, crowd psychology has grown cranky. Two-way refusal and reversal have bred frustration, resulting in premature advance and retreat. Sellers are encouraged by failed follow-through on bulls, but thin volume reflects diminishing conviction. Expectation of missing the next break keeps traders in the game, with a wound-up spring condition brimming with imbalance. Markets serial sweeps of liquidity at $1.4030 imply accumulation below visible structure, perhaps a precursor to an upside thrust to come. Hence, the directional bias here remains neutral with bullish potential, subject to confirmation. Bulls require a firm MACD crossover and SAR repositioning below $1.4045 to validate the setup. Action below $1.4020 would negate this bias and could set the stage for activity towards $1.3988. Otherwise, until that time, action whipsaws between the $1.4025-$1.4070 range before a clear break initiates the next leg.