The USDCAD has erased the declines from this week after the break to new 2024 highs on Friday failed. The low price yesterday and into today stalled just ahead of a support target at 1.3813 (the low reached 1.3817). The election results started the run back to the upside and that momentum has moved up to test the high from last week at the 1.3958.
Getting above that level will have the price trading at the highest level since October 2022. Get above that level and the price is trading a the highest level since May 2020.
What would derail the bullish move?
- If the price can stall RIGHT here, there is a chance to start a correction lower.
- If the price moves back below the 100/200 hour MAs that would give the sellers more confidence. Those MAs come in at 1.36808 and 1.36459 respectively.
Move below those levels and you can see more downside probing on the failures to the highs and above the 100/200 hour MAs.
What would hurt sellers especially since the buyers ARE in control?
A move above the 2022 high at 1.3977. Getting above that level opens the door even more to the upside.
So although there is resistance right here, it has a limit as the buyers are still more in control. Be careful. Be aware and be prepared.This post and video will help do that for you.
This article was written by Greg Michalowski at www.forexlive.com.
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