Chart USD/CAD Update: Extending corrective gains
No follow-through on break of the 1.3500 level and bounce from the 1.3481 low see prices retracing losses from the 1.3930, January high
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3900/30 | ** | congestion, Jan high | S1 | 1.3600 | congestion | ||
| R3 | 1.3800 | * | congestion | S2 | 1.3540 | * | 16 Jun 2025 year low | |
| R2 | 1.3700/30 | * | congestion | S3 | 1.3481 | ** | 30 Jan YTD low | |
| R1 | 1.3650 | ** | congestion | S4 | 1.3420/00 | * | Sep 2024 low, 50% |
Asterisk denotes strength of level
08:20 GMT - No follow-through on break of the 1.3500 level and bounce from the 1.3481 low see prices retracing losses from the 1.3930, January high. Daily studies unwinding oversold readings to reach strong resistance at 1.3650 December low. Clearance here, will open up room for stronger bounce to resistance at the 1.3700/30 area and possibly 1.3800. Corrective gains are expected to give way to renewed selling pressure later. Below the 1.3600 level and 1.3540 support will expose the 1.3500 level and 1.3481 low to retest and see scope to extend losses from the February 2025 year high.