Published: 2024-04-12T15:21:44.000Z
Chart USD/CAD Update: Extending gains in both USD- and CAD-driven trade
Senior Technical Strategist
1
Consolidation has given way to fresh gains in both USD- and CAD-driven trade
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 1.3900 | ** | 1 Nov 2023 YTD high | S1 | 1.3700 | ** | congestion | |
R3 | 1.3855 | * | 10 Nov (w) high | S2 | 1.3650 | congestion | ||
R2 | 1.3800 | ** | congestion | S3 | 1.3600 | ** | break level | |
R1 | 1.3765 | 22 Nov (w) high | S4 | 1.3500 | * | congestion |
16:15 BST - Consolidation has given way to fresh gains in both USD- and CAD-driven trade, with the break above the 1.3725 Fibonacci retracement turning sentiment outright positive. Immediate focus is on congestion resistance at 1.3800, where already overbought intraday studies could prompt fresh consolidation. However, daily readings are positive and broader weekly charts are mixed/positive, highlighting potential for a later break and extension of late-December gains towards critical resistance at 1.3900. Meanwhile, support is raised to 1.3700. An unexpected close beneath here will turn sentiment neutral and prompt fresh consolidation above 1.3600.