USD/CAD Long-Term Analysis: Bullish
USD/CAD pair is in an uptrend as price breaks above the moving averages. Buyers are pushing the pair to revisit the historical price level of 1.2850. The price at 1.2850 has not been broken since July. Meanwhile, a retraced candle body tested the 61.8% Fibonacci retracement level. The retracement indicates that USD/CAD will rise to level 1.618 Fibonacci extension or level 1.2790. The currency pair will face resistance at the historical price level.
USD/CAD Indicator Analysis
The currency pair is at level 62 of the Relative Strength Index period 14. The pair is in the bullish trend zone and has room to rally on the upside. The price bars are above the 21-day SMA and the 50-day SMA indicating a possible upward movement of prices. The pair is below the 80% range of the daily stochastic. Presently, the market is declining on the downside.
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?
On the 4 Hour Chart, the pair is in an upward move. The currency price is making is a series of higher highs and higher lows. The upward move is facing resistance at level 1.2650. Presently, it is retracing on the downside. The uptrend will resume if it retraces to the support above the moving averages or the trend line.
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