Chart USD/CAD Update: Balanced beneath marginal fresh year high
Choppy trade has posted a test above the 1.3958 weekly high of 1 November
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.4040 | * | 76.4% ret of 2020-2021 fall | S1 | 1.3900 | * | congestion | |
| R3 | 1.4000 | * | figure | S2 | 1.3850 | * | congestion | |
| R2 | 1.3978 | ** | Oct 2022 year high | S3 | 1.3817 | ** | 6 Nov (w) low | |
| R1 | 1.3958 | ** | 1 Nov (w) high | S4 | 1.3800 | * | congestion |
Asterisk denotes strength of level
16:35 GMT - Choppy trade has posted a test above the 1.3958 weekly high of 1 November, with fresh selling interest appearing around 1.3967. A minor pullback is developing, as intraday studies turn down, but mixed daily readings and improving weekly charts are expected to prompt renewed buying interest towards congestion support at 1.3900. Further slippage would open up 1.3850, but a close below the 1.3817 weekly low of 6 November is needed to turn sentiment negative and confirm a near-term top in place. Meanwhile, resistance is up to the 1.3978 year high of October 2022. A close above here would turn price action positive and extend long-term gains beyond 1.4000 towards the 1.4040 Fibonacci retracement.