Technical analysis of USD/CAD for January 2, 2019 - ConsultFX

Technical analysis of USD/CAD for January 2, 2019



The USD/CAD pair set above major support at the level of 1.3531, which coincides with the 61.8% Fibonacci retracement level. This support has been rejected for four times confirming uptrend veracity. Hence, major support is seen at the level of 1.3531 because the trend is still showing strength above it. Accordingly, the pair is still in the uptrend from the area of 1.3531 and 1.3600. The USD/CAD pair is trading in a bullish trend from the last support line of 1.3531 towards the first resistance level at 1.3660 in order to test it. This is confirmed by the RSI indicator signaling that we are still in the bullish trending market. Now, the pair is likely to begin an ascending movement to the point of 1.3660 and further to the level of 1.3727. The level of 1.3727 will act as second resistance and the double top is already set at the point of 1.3660. At the same time, if a breakout happens at the support levels of 1.3531 and 1.3450, then this scenario may be invalidated. But in overall, we still prefer the bullish scenario.

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