USDCAD faces solid resistance – Analysis - 29-12-2016

The USDCAD pair shows negative trading after it found solid resistance formed by 1.3574 barrier against the recent rally, which urges caution from the upcoming trading, as failing to breach this level will push the price to attempt to return to the bearish track again.

The EMA50 keeps supporting the price from below, while stochastic reaches the oversold areas now, therefore, these factors encourage us to continue suggesting the bullish trend in the upcoming period, reminding you that breaching 1.3574 will complete forming cup and handle pattern that has the ability to push the price towards 1.3837 initially, noting that breaking 1.3460 level will push the price to visit 1.3310 level before any new attempt to rise.

Expected trading range for today is between 1.3460 support and 1.3630 resistance.

Expected trend for today: Bullish