USD/CAD Reaches Support on Retracement
Market Condition: USD/CAD Retracement
Target 1: Half Retracement 1.3391
Target 2:Previous High 1.3588
(Created Using TradingView Charts)
The USD/CAD is finding technical support above an ascending daily trend line that has recently been established by connecting a series of higher lows on the daily chart above. This value has also been met with a secondary value of support measured by a 61.8% Fibonacci retracement of the pair’s previous trend higher. If prices remain supported here, it may allow traders an opportunity to trade a retracement and join an ongoing uptrend. Traders looking for a bounce near present market prices may opt to target the previous high of 1.3588, or divide the distance from today’s low in half to find preliminary targets near 1.3391.
While it remains possible that support may fail, traders may consider preparing for an invalidation beneath today’s daily low of 1.3195. At that point, the USD/CAD would be making lower lows and would suggest that the pair may be attempting to trend lower.
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