The USDCAD continues to consolidate near highs in up and down trading:
Key resistance:
- There is topside resistance at 1.38643 (the high price yesterday extended to 1.38678).
Key support:
- Swing area support comes between 1.38337 and 1.38475. The price low today has *e stalled within that swing area keeping the buyers in control.
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Targets on breaks:
- A break above the 1.3864 would have traders targeting swing highs going back to August 1 at 1.3888. Above that and natural resistance at 1.3900 followed by the high price from early August at 1.39458 would be targeted
- Break below 1.38337 would have traders targeting the floor area from Tuesday and Thursday at 1.38133. Getting below that level is needed to disappoint the buyers and likely lead to more downside probing toward 1.3788/1.3792
Buyers remain in control. The sellers tried to push lower after the Bank of Canada rate decision, but were not successful.
This article was written by Greg Michalowski at www.forexlive.com.
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