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Testing Support At The 50-Day EMA

USDCAD TECHS
  • RES 4: 1.4048 High May 22 2020
  • RES 3: 1.4000 Round number resistance
  • RES 2: 1.3977 High Oct 13, 2022
  • RES 1: 1.3856/3946 High Aug 6 / 5 and bull trigger
  • PRICE: 1.3734 @ 08:14 BST Aug 13
  • SUP 1: 1.3731/18 50-day EMA / Low Aug 9
  • SUP 2: 1.3657 Low Jul 17
  • SUP 3: 1.3589 Low Jun 11 and a key support
  • SUP 4: 1.3547 Low Apr 9

Trend conditions in USDCAD remain bullish and recent gains reinforce this theme. Near-term, the pair has pulled back from the Aug 5 high. A move lower appears to be a correction and is allowing an overbought condition to unwind. The 50-day EMA, at 1.3732, has been pierced. A clear break would signal scope for a deeper retracement and open 1.3657, the Jul 17 low. A reversal higher would refocus attention on 1.3946, the Aug 5 high.

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