USD/CAD Daily Forex Analysis
Intraday bias in USD/CAD remains on the upside as a rebound from 1.3119 is extending. The further rally should be seen to 55 D EMA (now at 1.3373). On the downside, the break of 1.3206 minor support will turn bias back to the downside for retesting 1.3119 low instead.
In the bigger picture, price actions from 1.3976 are still viewed as a correction to an up trend from 1.2005 (2021 low). Risk will stay on the downside as long as 1.3299 support turned resistance holds. The next target is a 61.8% retracement of 1.2005 to 1.3976 at 1.2758. However, a sustained trading above 1.3233 will raise the chance that the correction has been completed and turn the focus back to the 1.3657 resistance.
USD/CAD Daily Analysis Summary
Based on our Daily Forex Analysis, the intraday bias for USD/CAD remains on the upside as the rebound from 1.3119 extends. The target is the 55-day EMA at 1.3373. However, a break below the minor support level of 1.3206 could shift the bias to the downside. In the bigger picture, the price actions are seen as a correction, and the key resistance-turned-support level at 1.3303 will determine the risk outlook. Sustained trading above 1.3233 would indicate the completion of the correction and refocus on the resistance at 1.3657.
Key Takeaways
- Intraday bias in USD/CAD remains on the upside with further rally expected.
- The target for the rally is the 55-day Exponential Moving Average (EMA) at 1.3373.
- A break below the minor support level of 1.3206 could shift the bias to the downside.
- Price actions from 1.3976 are seen as a correction to the overall uptrend from 1.2005.
