Short

USD/CAD Technical Analysis: Short Bullish Mood 1.3400 and 1.3440

Updated

In the H4 chart, USDCAD is expected to test the 3/8 level, rebound from it, and then falling towards the support at the 0/8 one.The lines in the H4 and H1 charts are completely the same and confirm the scenario described above. 50-day and 100-day simple moving average (SMA) near 1.3350/40 could restrict the pair’s near-term declines, a break of which can recall sub-1.3300 area on the chart.
On the upside, 1.3445/50 and 1.3470 seem nearby resistances to overcome in order to aim for 1.3520 number to the north.
USDCAD H4 200 ma 1.3370 level and Strong Technical level so take a short buy position Target 1.3400 and 1.3440 Area.
Down side of USDCAD Sell Position is 1.3460/1.3520 and 1.3660 level .Broad USD selling ahead of FOMC pleases Loonie bears. Comments from BOC’s Poloz and PMI are also in the limelight.
Upbeat industrial production and comments from the Bank of Canada’s (BOC) Governor Stephen Poloz helped the Canadian Dollar (CAD) take better advantage of the US Dollar’s (USD) weakness and ignore sluggish GDP figure from Canada.
News:
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The USD/CAD pair rose to a session high of 1.3468 with the loonie coming under strong selling pressure after the data published by Statistics Canada showed that the Canadian economy contracted by 0.1% in February. However, the pair lost its bullish momentum in the last hour following some optimistic comments from Bank of Canada Governor Poloz and was last seen trading at 1.3416, losing 0.31% on a daily basis.

Technical Level:
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Previous Weekly High 1.3522
Previous Weekly Low 1.3335
Previous Monthly High 1.3469
Previous Monthly Low 1.313
Daily Fibonacci 38.2% 1.3455
Daily Fibonacci 61.8% 1.3465

Note

US stocks are higher since the report:
S&P is up 6.23 points or 0.22%
Nasdaq is up 44 points or 0.54%
Dow is up 64 points or 0.25%

IN the US debt market, yields are lower

2 year 2.217%, -4.8 bps
10 year 2.469%, -3.2 bps
30 year 2.897%, -3.2 bps

Trade closed: target reached

USDCAD buy position active 1.3400 and take profit 1.3440 Are. Profit 40 pips done.

Trade active

USDCAD Sell positionis active 1.3450 Area take profit 1.3380 Are.

Saleh11

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