Technical analysis of USDCAD for August 9, 2017

The USD/CAD remains in a bullish trend since we last posted an analysis about it looking for 1.28. It looks highly possible to catch that price level soon.

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Red lines bullish channel

The USD/CAD is clearly in a bullish short-term trend. Price is above the cloud and inside the bullish channel where we see higher highs and higher lows. Short-term support is at 1.2650 while resistance is at 1.28.

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In a bigger time frame, the USD/CAD is making a counter trend bounce. Since 1.24-1.25 I have been calling for a bounce towards 1.28 where we find the 38% Fibonacci retracement. Price could even bounce higher towards 1.30 but for now, our goal is 1.28. There is no bearish divergence on the daily chart so we assume that after a stop at 1.28 we could expect a pull back.

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