CAD: trying to get rid of negativity 3/10/2022

Positive trading has regained control over the movements of the Canadian dollar after it succeeded in attacking the resistance level of 1.3790, recording its highest level at 1.3840 last Friday.

Technically, we tend in our trading to the upside, but cautiously, relying on the continuation of the pair obtaining positive stimulus from the 50-day simple moving average, in addition to stability above the support floor of 1.3730 and generally above 1.3700.

Therefore, the possibility of resuming the rise, targeting 1.3850, considering that the overshoot and rise above the mentioned level will extend the pair’s gains, so we will be waiting for the next 1.3900.

The stability of trading below 13700 can thwart the proposed scenario and initially put the pair under strong negative pressure targeting 1.3670.

Note: Stochastic is trying to eliminate the current negativity to gain additional momentum again.

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: 1.3670	R1: 13850
S2: 1.3575	R2: 1.3940
S3: 1.3490	R3: 1.4035