Chart USD/CAD Update: Leaning lower in choppy trade
Cautious trade is giving way to fresh losses in choppy trade
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.4667 | ** | March 2020 (y) high | S1 | 1.4335 | * | 20 Dec low | |
| R3 | 1.4500 | ** | congestion | S2 | 1.4280 | * | 6 Jan (w) low | |
| R2 | 1.4485 | intraday high | S3 | 1.4250 | break level | |||
| R1 | 1.4400 | break level | S4 | 1.4200 | break level |
Asterisk denotes strength of level
16:30 GMT - Cautious trade is giving way to fresh losses in choppy trade, with prices currently trading just above support at the 1.4335 low of 20 December. Intraday studies are turning down and mixed daily readings are also coming under pressure, highlighting room for fresh losses in the coming sessions. A break back below 1.4335 will open up the 1.4280 weekly low of 6 January. A further close below 1.4250 will turn sentiment negative and confirm a near-term top in place just below congestion around 1.4500. Meanwhile, a close above 1.4400 would help to stabilise price action. But a further close above 1.4500 would turn price action positive and confirm continuation of broad May 2021 gains.