FxWirePro: USD/CAD Loses Momentum But Outlook Is Bullish
- The USD/CAD pair retreated back slightly on Tuesday as oil prices rebounded towards 44$ per barrel as attention turned to when production will be brought back in line in Canada’s oil sands region.
- As long the pair trades above strong support zone located at 1.2821 levels, the ongoing bullish trend for the pair is set to continue in the short term.
- The currency pair is trading around 1.2951 levels, it is set to advance further towards 1.3040 and 1.3100 in the short term.
- To the upside, the strong resistance can be seen at 1.3025, a break above will take the pair towards next resistance level at 1.3080.
- To the downside immediate support can be seen at 1.2900 levels, a break below will open the door towards next level at 1.2821. Resistance Levels R1: 1.2985 (38.2% Retracement level) R2: 1.3025 (Daily high) R3: 1.3080 (23.6% Retracement level) Support Levels S1: 1.2900 (50% Retracement level) S2: 1.2821 (61.8% Retracement level) S3: 1.2782 (May 5th lows)