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Bullish Reversal Exposes Resistance

USDCAD TECHS
  • RES 4: 1.3077 High May 16 and the bull trigger
  • RES 3: 1.2982 High May 16
  • RES 2: 1.2896 High May 18 and a key resistance
  • RES 1: 1.2881 High Jun 13
  • PRICE: 1.2867 @ 16:36 BST Jun 13
  • SUP 1: 1.2681/2518 Low Jun 10 / Low Jun 8 and key support
  • SUP 2: 1.2459 Low Apr 21
  • SUP 3: 1.2403 Low Apr 5 and key support
  • SUP 4: 1.2387/74 Low Nov 10. 2021 / 2.0% 10-dma env

A sharp rally in USDCAD last week extended Monday, cementing a short-term reversal. Key near-term support has been defined at 1.2518, the Jun 8 low. The extension signals potential for a climb towards resistance at 1.2896, the May 19 high. For bears, a resumption of weakness and a breach of 1.2518, would reinstate a bearish threat and expose 1.2459, Apr 21 low and 1.2403 further out, the Apr 5 low and a key support.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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