USD/CAD has slipped back towards 1.3229 levels after hitting high yesterday around 1.3280 levels. The Canadian dollar's weakness is not only attributed to a stronger dollar, but also linked to falling oil prices. Currently the pair has broken support level at 1.3221 and inching downwards to test next support level.
- The currency pair is set to consolidate around 1.3149 levels and rebound back towards 1.3250 and later towards 1.3300 levels, therefore it's good to buy this pair on dips.
- The immediate support can be seen at 1.3200, break below this level will expose the pair to next support level at 1.3120 levels.
- Major resistance can be seen at 1.3281, break above this level will expose it towards 1.3330.
Recommendation: Go long above 1.3150 with targets at 1.3250, 1.3290 SL 1.3040.
Resistance Levels
R1: 1.3281 (Oct 27th high)
R2: 1.3313 (23.6% Retracement level)
R3: 1.3358 (Sep 23rd high)
Support Levels
S1: 1.3200 (Psychological levels)
S2: 1.3146 (50% Retracement level)
S3: 1.3120 (Oct 26th lows)
