24 Mar 2015
USD/CAD might see a pullback towards 1.20 levels – Varengold
FXStreet (Barcelona) - The Varengold Bank Research Team shares the technical outlook for USD/CAD using monthly charts, noting that the current overbought levels indicate scope for a move lower towards 1.20 levels.
Key Quotes
“Technically the USDCAD has performance a spectacular rise in the last months, especially in January when the USD increased its value around 10% against CAD.”
“Now the pair has stopped exactly in the 50% of all the previous fall, coinciding with an important resistance. If this level is crossed, the 1.3600 would be the next objective.”
“However, as most possible scenario, and considering the level of over-bought reached by the RSI, should be a pull back to around 1.20, being possible to extend it to 1.10-1.11 CAD per USD.”
“Support Levels around 1.2020, 1.1035, 0.9450”
“Resistance Levels around 1.2800, 1.3600”
Key Quotes
“Technically the USDCAD has performance a spectacular rise in the last months, especially in January when the USD increased its value around 10% against CAD.”
“Now the pair has stopped exactly in the 50% of all the previous fall, coinciding with an important resistance. If this level is crossed, the 1.3600 would be the next objective.”
“However, as most possible scenario, and considering the level of over-bought reached by the RSI, should be a pull back to around 1.20, being possible to extend it to 1.10-1.11 CAD per USD.”
“Support Levels around 1.2020, 1.1035, 0.9450”
“Resistance Levels around 1.2800, 1.3600”