Chart USD/CAD Update: Studies continue to rise
Consolidation above 1.3800 is giving way to further range trade
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.4040 | ** | 50% ret of Mar-Jun fall | S1 | 1.3800 | * | congestion | |
| R3 | 1.4000 | ** | break level | S2 | 1.3700 | ** | congestion | |
| R2 | 1.3900 | * | break level | S3 | 1.3600 | ** | congestion | |
| R1 | 1.3860 | * | 29 May (w) high | S4 | 1.3550 | * | congestion |
Asterisk denotes strength of level
16:30 BST - Consolidation above 1.3800 is giving way to further range trade, with prices currently balanced around 1.3840 as intraday studies turn neutral. Daily stochastics and the daily Tension Indicator continue to rise, and broader weekly charts are also improving, highlighting room for continuation of June gains towards the 1.3860 weekly high of 29 May. Beyond here is stronger resistance at 1.4000, where already overbought daily stochastics could prompt fresh consolidation/profit-taking. Meanwhile, support is raised to congestion around 1.3800. A close beneath here would turn sentiment neutral and prompt consolidation above further congestion around 1.3700.