- The USD/CAD pair broke the resistance of 1.2482, which turned to support.
Thereupon, the pair has already found strong support at the level of 1.2482.
Also, it should be noted that the minor support has set at the level of 1.2522
and the same level represents the double bottom. After the pair had failed to close
below those levels, the market became bullish in that area. Additionally, the
RSI and last strong support (around the double bottom at 1.2522) are still
calling for uptrend at this spot. Consequently, the pair will call for an
upside momentum rather convincing and the structure of the rise does not look
corrective in order to indicate the bullish opportunity above the level of
1.2522. It will be a good sign to buy at 1.2530 with the first target at
1.2640. The pair will continue its bullish move towards 1.3608. The ratio of
61.8% Fibonacci retracement levels coincides with the level of 1.2702 to form strong
resistance in coming days. However, it should also be noted that the price is
going to move between 1.2530 and 1.2702 in the long term.
The material has been provided by InstaForex Company – www.instaforex.com