Pushes by way of 1.3500, testing a 4-month-old resistance trendline forward of 1.3600

Last updated: 2023/02/21 at 10:14 PM

By Staff 1 month ago

2 Min Read

USD/CAD reclaims 1.3500, distancing from the each day EMAs, because the uptrend accelerates.
The main is testing a downslope trendline, which, if damaged, the USD/CAD can rally to 1.3700.

The USD/CAD superior within the North American session, although it retraced from 7-week highs at 1.3549, it retreated late within the session. Nevertheless, the USD/CAD is buying and selling at 1.3537 and is gaining 0.65%.

After bottoming round 1.3262, the USD/CAD pair is gaining traction, and it’s approaching a four-month-old downslope resistance space at round 1.3560-75. Albeit, the foremost cleared important hurdles on its manner north, particularly the 20, 50, 100, and 200-day Exponential Moving Averages (EMAs), consolidated inside a 200-pip vary. Nonetheless, the USD/CAD reclaiming the 1.3500 determine exacerbated the rally to multi-week highs.

For an uptrend resumption, the USD/CAD wants to interrupt a downslope resistance trendline at round 1.3560-75. Once damaged, the USD/CAD may check the 1.3600 psychological stage. A breach of the latter, the USD/CAD will rally towards the January 3 each day excessive at 1.3685, adopted by 1.3700.

As an alternate state of affairs, the USD/CAD first assist can be 1.3500. Once cleared, the trail towards the 50-day EMA at 1.3436 can be clear. The following demand space to be examined by the USD/CAD can be the confluence of the 20 and 100-day EMAs, at 1.3418 and 1.3413, respectively.