CAD continues to climb 17/8/2023

Positive trades dominated the movements of the US dollar against the Canadian dollar within the expected positive outlook, touching the first target at 1.3530, recording its highest level at 1.3552.

Technically, the 50-day simple moving average is still holding the price from below, in addition to the positive signs coming from the RSI, which is stable above the mid-line, in addition to breaching the resistance of the psychological barrier 1.3500, which turned into a support level, according to the concept of reciprocity.

We continue the rise, targeting 1.3560 as a first target, considering that the price’s breach of the mentioned level is a catalyst that enhances chances of rising towards 1.3600 and 1.3640, respectively.

It should be noted that confirmation of breaking the floor of the 1.3500 support, 38.20% correction, then 1.3470, can thwart the bullish scenario, and we are witnessing the beginning of the formation of a bearish slope aimed at retesting the main support 1.3440 & 1.3400, before attempts to rise again.

Note: Today we are awaiting high-impact economic data issued by the US economy, “unemployment benefits” and 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: 1.3470	R1: 1.3560
S2: 1.3440	R2: 1.3600
S3: 1.3400	R3: 1.3640