Overview:
The USD/CAD pair has faced strong resistances at the levels of 1.2969 because support had become resistance on September 17, 2018. So, the strong resistance had already formed at the level of 1.2969 and the pair is likely to try to approach it in order to test it again. However, if the pair fails to pass through the level of 1.2969, the market will indicate a bearish opportunity below the new strong resistance level of 1.2969 (the level of 1.2969 coincides with the daily pivot point). Moreover, the RSI starts signaling a downward trend, as the trend is still showing strength above the moving average (50). Thus, the market is indicating a bearish opportunity below 1.2969 so it will be good to sell at 1.2969 with the first target of 0.9965. It will also call for a downtrend in order to continue towards 1.2796. The daily strong support is seen at 1.2796. On the other hand, the stop loss should always be taken into account, for that it will be reasonable to set your stop loss at the level of 1.3057.
The material has been provided by InstaForex Company -
www.instaforex.com