USD/CAD Technical Analysis: Attempting to Renew Advance
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- USD/CAD Technical Strategy: Flat
- Support: 1.0995, 1.0934, 1.0859
- Resistance: 1.1038, 1.1108, 1.1165
The US Dollar is attempting to re-ignite upward momentum against its Canadian namesake after rebounding from familiar support below the 1.10 figure. Near-term resistance is at 1.1038, the 23.6% Fibonacci expansion, with a break above that on a daily closing basis exposing the 1.1098-1.1108 area marked by the September 15 high and the 38.2% level. Alternatively, a turn back below the 14.6% Fib at 1.0995 opens the door for a challenge of 1.0934, the intersection of the September 2 high and a rising trend line set from mid-July.
Prices are wedged too closely between near-term support and resistance levels to justify entering a trade from a risk/reward perspective. We will continue to stand aside for the time being, waiting for an actionable opportunity to emerge.
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Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.