Published: 2024-11-05T16:31:51.000Z
Chart USD/CAD Update: Lower in both USD- and CAD-driven trade
Senior Technical Strategist
1
Consolidation around 1.3900 has given way to a sharp break lower in both USD- and CAD-driven trade
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.4000 | figure | S1 | 1.3850 | break level | |||
| R3 | 1.3978 | ** | October 2022 (y) high | S2 | 1.3800 | ** | congestion | |
| R2 | 1.3947/58 | ** | 5 Aug (m) high; 1 Nov YTD high | S3 | 1.3745 | * | 17 Oct (w) low | |
| R1 | 1.3900 | break level | S4 | 1.3700 | * | break level |
Asterisk denotes strength of level
16:20 GMT - Consolidation around 1.3900 has given way to a sharp break lower in both USD- and CAD-driven trade, with prices currently pressuring support at 1.3850. Intraday studies are under pressure and daily readings continue to fall, highlighting a deterioration in sentiment and room for further losses in the coming sessions. A break below 1.3850 will open up congestion around 1.3800, but flattening overbought weekly stochastics could keep prices under further pressure. Meanwhile, a close back above 1.3900 would turn sentiment neutral and prompt consolidation beneath strong resistance at 1.3947/58.