USD/CAD Daily Forex Analysis
Our Daily Forex Analysis suggests that the intraday bias for USD/CAD remains neutral at the moment. The overall outlook remains unchanged, indicating the formation of a short-term bottom at 1.3115 and a mild inclination towards further upward movement. A break above 1.3284 would resume the rebound from the aforementioned bottom, with the next target being the 55-day Exponential Moving Average (EMA) currently positioned at 1.3379.
In the bigger picture, the price actions from the high of 2022 at 1.3976 are still considered a correction to the upward trend originating from the low of 2021 at 1.2005. The risk remains tilted towards the downside as long as the support-turned-resistance level at 1.3299 holds. The next target for the downside movement is the 61.8% retracement level of the move from 1.2005 to 1.3976, located at 1.2758. However, if the price sustains trading above 1.3229, it would raise the probability that the correction has concluded and shift the focus back to the resistance level at 1.3653.
USD/CAD Daily Analysis Summary
Our Daily Forex Analysis indicates a neutral intraday bias for USD/CAD, with the possibility of further upward movement if the price surpasses 1.3284. In the bigger picture, the correction from the high of 2022 is still underway, with a downside risk of 1.2758. Sustained trading above 1.3229 would suggest the completion of the correction and a renewed focus on the resistance at 1.3653.
Key takeaways
- Intraday bias for USD/CAD is currently neutral.
- A break above 1.3284 would signal a continuation of the rebound from 1.3115.
- Risk remains on the downside as long as 1.3299 holds as resistance.
