USD/CAD Long-Term Analysis: Bullish
USD/CAD is in an upward move. In the first uptrend, the pair rallied to level 1.2800 and was repelled. The currency pair retraced to 1.2525 low and corrected upward. The upward correction was terminated as the pair dropped again to the low of 1.2430. USD/CAD has resumed a fresh uptrend at the low of level 1.2442. Meanwhile, on August 3 uptrend; a retraced candle body tested the 50% Fibonacci retracement level. The retracement indicates that USD/CAD will rise to level 2.0 Fibonacci extension or level 1.2726.
USD/CAD Indicator Analysis
The currency pair has risen to level 52 of the Relative Strength Index period 14. It indicates that the pair is in the uptrend zone and above the center 50. The 21-day and 50-day SMAs are sloping upward indicating the uptrend. The pair is also above the 25% range of the daily stochastic. The market is in a bullish momentum.
Technical indicators:
Major Resistance Levels – 1.3300, 1.3400, 1.3500
Major Support Levels – 1.2300, 1.2200, 1.2100
What Is the Next Direction for USD/CAD?
USD/CAD has resumed a fresh uptrend. On the 4– hour chart, the upward move is facing resistance at the high of 1.2570. The pair will resume an uptrend if the initial resistance is breached.Meanwhile, on August 3 uptrend; a retraced candle body tested the 50% Fibonacci retracement level. The retracement indicates that USD/CAD will rise to level 2.0 Fibonacci extension or level 1.2725.
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