CAD looking for extra momentum 13/12/2022

Trading tended to be positive during the previous trading session, but within a narrow range between 1.3620 and 1.3680.

Technically, we tend to be positive, but with caution, relying on the positive impulse coming from the 50-day simple moving average, stimulated by the clear positive signs on the RSI.

Activating the suggested scenario depends on the pair consolidating above 1.3680, which will facilitate the task required to visit 1.3715 and 1.3750, respectively.

A decline below 1.3600 will immediately stop any attempts to rise and lead the pair to the downside path, targeting 1.3570 & 1.3530.

Today we are awaiting high-impact economic data, and we may witness fluctuations at the time of news release:-

• The consumer price index from the United States of America is one of the most important measures of inflation and has an impact on the interest rate decision.

– Change in unemployment benefits from the UK, Bank of England Governor’s Speech.

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: 1.3600	R1: 1.3675
S2: 1.3570	R2: 1.3715
S3: 1.3530	R3: 1.3750