CAD: successfully testing support 28/9/2022

Movements tended to the downside temporarily within the tendency to retest the support, as we explained yesterday, to approach the retest target at 1.3620, recording the lowest at 1.3640 to start the bullish rebound as we expected.

Technically, the pair’s success in building a base on the 1.3640 support with the positive motive of the simple moving averages that continue to hold the price from below and coincide with the positive momentum signals from the 14-day momentum indicator.

Therefore, we maintain our positive outlook, targeting 1.3810, and we should pay close attention to this level due to its importance. Its breach is a catalyst that enhances the chances of the pair rising towards 1.3880 and 1.3910, respectively, as long as the price is stable above 1.3620.

Note: Markets are still unstable and we may see random moves.

Note: We are awaiting the Federal Reserve’s speech later in today’s session, and we may witness high price volatility.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.3675	R1: 1.3825
S2: 1.3585	R2: 1.3880
S3: 1.3520	R3: 1.3975