USD/CAD Engulfs Prior 4 Days; Still Contained by Channel
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-USDCAD has pulled back from the line that crosses the July and August highs. The level is reinforced by upward sloping channel resistance.
-A break above the latter channel could trigger a significant move higher.
-An early month low is in place at 1.0397. Weakness below there would shift focus to channel support.
Trading Strategy: Weakness below 1.0450 would present an opportunity to get long against 1.0397 but this isn’t something I am entertaining. There are better opportunities.
LEVELS: 1.0397 1.0420 1.0450 | 1.0501 1.0515 1.0547
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.