CAD touches rising targets 26/10/2023

The Canadian dollar jumped and achieved significant gains yesterday, as we expected. It reached the official target station at 1.3815 and recorded its highest level at 1.3818.

Technically, we are leaning towards the positive, relying on the pair’s success in establishing a good support ground around 1.3760. In addition, the simple moving averages provide a positive incentive to continue the upward trend.

Hence, the stability of trading above 1.3760 encourages us to maintain our positive expectation, targeting 1.3845 as a next target, knowing that consolidation above the aforementioned level is a motivating factor that enhances the chances of a rise towards 1.3880, an awaited official station.

Stability again below the support level of 1.3760. This postpones the chances of a rise but does not cancel them, and we may witness a retest of 1.3700 and 1.3680 before another attempt to rise.

Note: Today we are awaiting high-impact economic data issued by the Eurozone (European Central Bank Monetary Policy Committee statement, European Central Bank press conference, interest rates on the euro)

In the US, (preliminary estimates of gross domestic product).

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: 1.3760	R1: 1.3845
S2:  1.3700	R2: 1.3880
S3: 1.3670	R3: 1.3935