USDCAD tests the key resistance – Analysis - 29-11-2017

The USDCAD pair keeps rising to begin testing the most important resistance at 1.2820, which represents neckline of a double bottom pattern that its signs appear on chart now, which means that breaching it will push the price to extend the bullish correction on the short term basis and surpass 1.2927 barrier towards 1.3000.

On the other hand, stochastic shows clear overbought signals now, to form negative factor that might push the price to decline again, noting that the bearish rebound and breaking 1.2723 will confirm the continuation of the general negative scenario that its next main target located at 1.2470.

Therefore, we will continue to suggest the bearish trend in the upcoming sessions conditioned by holding below 1.2820.

Expected trading range for today is between 1.2700 support and 1.2900 resistance.

Expected trend for today: Bearish