CAD is trying to rise 25/5/2022

We adhered to intraday neutrality during the previous analysis due to the conflicting technical signals to find the Canadian dollar for the second consecutive session, unable to break the strong support level at 1.2770 and obtain a positive closing above the mentioned level to retest 1.2870.

Technically, we tend in our trading to the positive, but with caution, relying on the positive stimulus coming from the 50-day simple moving average and the consolidation above 1.2770.

Therefore, we may witness attempts to rise in the coming hours, targeting 1.2870/1.2850, considering that the recent breach motivates the EUR to visit 1.2930 initially.

The decline below 1.2770 constitutes a strong negative pressure factor and leads the pair to the official descending path, with an initial target of 1.2720.

Note: Today, we are awaiting the Federal Reserve’s meeting later in today’s session, and we may witness high volatility in prices.

Note: Today we are awaiting the results of the Federal Reserve’s meeting later in today’s session, and we may witness high volatility in prices.

S1: 1.2770	R1: 1.2870
S2: 1.2720	R2: 1.2930
S3: 1.2660	R3: 1.2975