Short Term Trend Reversal in USD/CAD

Technical Reports

Trading is on the downside for 38.2% retracement of 1.2781 to 1.3359 at 1.3138, as break of support 1.3187 indicates a short term trend reversal, after rejection by key resistance 1.3385. Pivot points are at: (S1) 1.3263; (P) 1.3299; (R1) 1.3324.

Overcoming of resistance 1.3385 will confirm upside momentum. Hitting of 38.2% retracement of 1.2781 to 1.3359 at 1.3138 will aline 61.8% retracement at 1.3002.

A medium term correction from 1.3385 is extending with another falling leg. As deeper decline is not excluded, downside should be contained by 50% retracement of 1.2061 to 1.3385 at 1.2723 to bring rebound. Further growth is still expected to 61.8% retracement of 1.4689 to 1.2061 at 1.3685, at a later stage.