Published: 2024-10-17T16:11:44.000Z
Chart USD/CAD Update: Immediate gains to remain limited
Senior Technical Strategist
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Consolidation is giving way to a minor test higher
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 1.3900 | * | figure | S1 | 1.3700 | congestion | ||
R3 | 1.3835 | * | 15 Oct high | S2 | 1.3650 | ** | break level | |
R2 | 1.3825 | ** | 76.4% ret of Aug-Sep fall | S3 | 1.3600 | ** | break level | |
R1 | 1.3800 | ** | congestion | S4 | 1.3550 | intraday break level |
Asterisk denotes strength of level
16:50 BST - Consolidation is giving way to a minor test higher, as intraday studies improve, with focus turning back to resistance at congestion around 1.3800 and the 1.3825 Fibonacci retracement. A test of this area cannot be ruled out, but negative daily readings are expected to prompt fresh selling within here. Following corrective gains, lower levels are looked for, with focus to turn to congestion support at 1.3700. However, rising weekly charts should limit any tests in buying interest/consolidation. Meanwhile, a close above 1.3825 would turn sentiment positive once again and extend September gains towards 1.3900.