Published: 2024-10-21T15:31:36.000Z
Chart USD/CAD Update: Extending September gains in both USD- and CAD-driven trade
Senior Technical Strategist
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Cautious trade is giving way to fresh gains in both USD- and CAD-driven trade
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 1.4040 | ** | 76.4% ret of 2020-2021 fall | S1 | 1.3800 | ** | congestion | |
R3 | 1.4000 | * | figure | S2 | 1.3745 | * | 17 Oct (w) low | |
R2 | 1.3947 | ** | 5 Aug YTD high | S3 | 1.3700 | congestion | ||
R1 | 1.3900 | * | figure | S4 | 1.3650 | ** | break level |
Asterisk denotes strength of level
16:15 BST - Cautious trade is giving way to fresh gains in both USD- and CAD-driven trade, with the break above the 1.3825 Fibonacci retracement turning sentiment positive. Overbought daily stochastics have ticked higher once again, pointing to room for extension of September gains towards 1.3900. However, already overbought studies should limit any immediate break in profit-taking towards critical resistance at the 1.3947 current year high of 5 August. Meanwhile, support is raised to congestion around 1.3800. A close beneath here, if seen, should give way to consolidation above the 1.3745 weekly low of 17 October.