USD/CAD: the upward momentum maintains

Sorting by categories

12/06/2018

Current trend

Since the beginning of this week, the USD/CAD pair has grown by more than 250 points due to a decrease in demand for CAD and a moderate growth of USD. The price easily broke the local maximum of the end of June at 1.3390, which was a strong resistance level. CAD is under pressure of a rapid decline in oil prices and a drop in the activity of the energy sector. The US dollar, in turn, gradually strengthens its position.

Today and tomorrow, in the United States a number of key releases that may affect the pair, will be released: labor market data, including Nonfarm Payrolls, statistics on Production Orders, as well as key indices.

Support and resistance

In the short term, the upward momentum will raise the instrument to key resistance levels. If the US releases on the labor market are positive, the price may grow significantly. Now, the pair has almost reached the next serious resistance at the level of 1.3450. From this level, the pair may drop and move under the influence of trading sentiment and macroeconomic statistics. The long-term and medium-term trends remain upward, which means it is worth opening long positions, perhaps just after the downward correction.

Technical indicators confirm the growth forecast, the volumes of long MACD positions are growing, Bollinger bands are directed upwards.

The Resistance levels are 1.3450, 1.3530, 1.3570, 1.3595, 1.3610, 1.3650.

Support levels: 1.3390, 1.3375, 1.3355, 1.3290, 1.3225, 1.3170.

Trading tips

It is relevant to open pending long positions from the levels of 1.3375, 1.3355, 1.3290 with the target at 1.3530 and stop loss 1.3240.

Share: ВКонтакт Facebook Google Plus Одноклассники Twitter Яндекс Livejournal Liveinternet Mail.Ru

BCS Forex clients are provided with daily analytical reviews and forex market forecasts from the leading experts with many years of successful trading experience. Competent forecasts allow you to realistically assess the situation on Forex market and identify potential risks, as well as emerging investment opportunities. At the heart of professional forecast is an expert opinion based on analysis and the latest trends of the world financial markets.

To make forecasts, you need not only a comprehensive analysis of market fluctuations, but also  experience in Forex. Our experts possess all the features required for predicting certain market quotations. Analysis of such experts is supported by years of successful trading operations and in-depth knowledge of the peculiarities of global financial markets.

Please note:

After 03 seconds you will be redirect to
BrokerCreditService (Cyprus) Limited. (www.bcscyprus.ru)

If it didn't happen automatic, please, select go to.