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Resistance To Watch Is At The 50-Day EMA

USDCAD TECHS
  • RES 4: 1.3538 50.0% retracement of the Nov 1 - Dec 27 bear leg
  • RES 3: 1.3480 200-dma
  • RES 2: 1.3457 50-day EMA
  • RES 1: 1.3443 High Jan 11
  • PRICE: 1.3401 @ 16:51 GMT Jan 12
  • SUP 1: 1.3229/3177 Low Jan 2 / Low Dec 27
  • SUP 2: 1.3093 Low Jul 14 and key support
  • SUP 3: 1.3055 2.0% 10-dma envelope
  • SUP 4: 1.2992 50.0% retracement of the 2021 - 2022 bull phase

USDCAD traded higher Thursday, building on recent gains. The broader trend outlook is unchanged and remains bearish and the latest recovery is considered corrective. Resistance to watch is at the 50-day EMA, at 1.3457. A clear break of it would strengthen a bullish theme and open 1.3480, the 200-dma. For bears, a move lower would signal the end of the correction and attention would turn to 1.3177, the Dec 27 low and bear trigger.

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