Chart USD/CAD Update: Opening gains not sustained - studies under pressure
The opening gap above 1.3850 has been pushed back from 1.3875~
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3985 | ** | 76.4% ret of Nov-Jan fall | S1 | 1.3795/00 | * | 38.2% ret; congestion | |
| R3 | 1.3965 | * | 31 Mar YTD high | S2 | 1.3745 | ** | 50% ret of March rally | |
| R2 | 1.3900 | * | congestion | S3 | 1.3700 | ** | cong, 61.8% ret | |
| R1 | 1.3850 | * | congestion | S4 | 1.3650 | * | congestion |
Asterisk denotes strength of level
16:25 BST - The opening gap above 1.3850 has been pushed back from 1.3875~, as intraday studies turn down, with prices currently trading just above strong support at the 1.3795 Fibonacci retracement and congestion around 1.3800. Daily readings continue to fall and overbought weekly stochastics are unwinding, highlighting room for fresh losses in the coming sessions. A close beneath here will add weight to sentiment and extend late-March losses towards the 1.3745 retracement. However, the positive weekly Tension Indicator could limit any initial tests in consolidation. Meanwhile, any fresh tests above congestion resistance at 1.3850 should meet selling interest beneath congestion around 1.3900.