Chart USD/CAD Update: Gains to remain limited
Cautious trade is giving way to a drift higher
| Levels | Imp | Comment | Levels | Imp | Comment | |||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.4350 | * | congestion | S1 | 1.4140 | ** | 5 Nov (m) high | |
| R3 | 1.4290 | ** | 61.8% ret of 2025-2026 fall | S2 | 1.4000 | ** | break level | |
| R2 | 1.4248 | * | 24 Jun YTD high | S3 | 1.3930 | intraday lows | ||
| R1 | 1.4200 | * | congestion | S4 | 1.3900 | ** | congestion |
Asterisk denotes strength of level
17:15 BST - Cautious trade is giving way to a drift higher, as intraday studies rise, with prices currently testing levels just above congestion resistance at 1.4200. Focus is turning to critical resistance at the 1.4248 current year high of 24 June. But unwinding overbought daily stochastics and the deteriorating daily Tension Indicator should limit any initial tests in renewed selling interest/consolidation. Broader weekly charts are positive. But a close above here is needed to turn sentiment positive and extend January gains towards historic congestion around 1.4350. Meanwhile, support remains down to the 1.4140 monthly high of 5 November, and should underpin any immediate setbacks.