- USD/CAD has hit resistance at 1.2871 levels, and is rebounded to trade at 1.2894 levels. Canadian dollar has gathered some momentum after Producer Price Index (PPI) and Retail sales was released from US market yesterday, which printed negative reading. Canadian dollar continues to remain stronger against US dollar and is set to reach higher levels. Therefore, it's good to sell this pair on rallies.
- The currency pair is trading at 1.3258 levels, it is expected to reach 1.3280 levels and 1.3320 levels in the short term.
- The immediate support can be seen at 1.2871, break below this level will expose the pair to next support level at 1.2853.
- Major resistance can be seen at 1.2895, break above this level will expose it towards 1.2940 levels.
Recommendation: Go short below 1.2940 with targets at 1.2850, 1.2800 SL 1.2980.
Resistance Levels
R1: 1.2895 (50% Retracement level)
R2: 1.2940 (61.8 % Retracement level)
Support Levels
S1: 1.2853 (38.2% Retracement level)
S2: 1.2801 (50% Retracement level)
