Overview:
The USD/CAD pair continues to move upwards from the level of 1.3216. Yesterday, the pair rose from the level of 1.3216 (the level of 1.3216 coincides with a ratio of 38.2% Fibonacci retracement) to a top around 1.3358 but it rebounbed towards the price of 1.3292. Today, the first resistance level is seen at 1.3358 followed by 1.3413, while daily support 1 is seen at 1.3216. According to the previous events, the USD/CAD pair is still moving between the levels of 1.3216 and 1.3413; for that we expect a range of 197 pips (1.3413 - 1.3216). On the one-hour chart, immediate resistance is seen at 1.3358, which coincides with double top. Currently, the price is moving in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. The price is still above the moving average (100), Therefore, if the trend is able to break out through the first resistance level of 1.3358, we should see the pair climbing towards the daily resistance at 1.3413 to test it. It would also be wise to consider where to place stop loss; this should be set below the second support of 1.3216.
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