CAD retests the moving average 23/2/2023

The Canadian dollar continues its efforts to complete the required rise within the expected bullish path during the previous trading session, approaching a few pips from our first target of 1.3580, recording its highest price at 1.3570.

Technically, by looking at the 240-minute chart, the stochastic indicator entered the overbought areas. As a result, the pair gradually lost bullish momentum, continuing the intraday trading stability below the minor resistance of 1.3540.

We anticipate a bearish bias in the coming hours, aiming to retest 1.3500 and 1.3470 before attempts to rise again. The daily trend is generally bullish unless we witness a break of 1.3430. It should be noted that the expected bearish slope does not contradict the bullish trend, whose targets are around 1.3620.

Note: Today, we are awaiting quarterly the preliminary reading of the gross domestic product in the US, and we may witness a high fluctuation in prices at the time of the release.

Note: Today, we are waiting for the speech of the “Chairman of the Federal Reserve”, which has a significant impact, and we may witness fluctuations in prices during the issuance of the speech.

S1: 1.3500	R1: 1.3580
S2: 1.3470	R2: 1.3620
S3: 1.3430	R3: 1.3690