USDCAD attacks the resistance – Analysis - 14-08-2017

The USDCAD pair found solid resistance at 1.2739 that forced the price to rebound bearishly and fluctuate at the EMA50, which urges caution from the upcoming trading, as holding below this level will push the price back to its main bearish track again and satisfy with the achieved bullish correction so far.

On the other hand, stochastic shows positive signals now, while the EMA50 provides the positive support to the price, therefore, this contradiction between the technical factors makes us prefer staying aside temporarily until we get clearer confirmation signal for the next trend, which we will get through breaching 1.2739 resistance or breaking 1.2605 support.

Note that breaching the mentioned resistance will push the price towards 1.2940 as a next correctional target, while breaking the support will confirm the return to the main bearish track that its first target located at 1.2413.

Expected trading range for today is between 1.2575 support and 1.2780 resistance.

Expected trend for today: Depends on the above mentioned levels