Daily Forex Analysis – USD/CAD
The USD/CAD pair manifests a slight inclination towards the upside, eyeing a retest of 1.3697. A robust resistance is anticipated at this juncture, likely hindering upward movement initially. Conversely, a slip below the 1.3419 support could trigger a decline from 1.3697, surpassing 1.3382 and extending towards the 61.8% retracement of 1.3095 to 1.3697 at 1.3325.
Expanding the Daily Analysis, it remains consistent that the price movements stemming from 1.3980, the peak of 2022, are perceived as a corrective phase relative to the upward trajectory from 1.2009, recorded as the low in 2021. The point of contention revolves around whether this correction has concluded with three descending waves to 1.3095 or if it continues to extend. Nonetheless, even if it extends, the downside is predicted to be restrained by the 50% retracement of 1.2009 to 1.3800 at 1.2995. Concurrently, a decisive breach of 1.3697 would corroborate the earlier scenario, aiming for 1.3980 and potentially beyond, presenting a pivotal moment in the USD/CAD Intraday Analysis.
Analysis Summary
The USD/CAD pair is mildly biased to the upside, targeting a retest of 1.3697, with significant resistance expected. However, a fall below 1.3419 support might induce a further decline, with 1.3325 as the subsequent target. The corrective pattern from the 2022 high at 1.3980 is still under scrutiny, with uncertainties surrounding its completion or extension.
Key Points
- USD/CAD is mildly inclined towards the upside, retesting 1.3697.
- A significant fall could occur if support at 1.3419 is breached, targeting 1.3325 next.
- The ongoing corrective pattern’s status is uncertain, originating from 1.3980, the 2022 high.
