Canadian Dollar: Rebounds After Touching Goal

The Canadian dollar was able to touch the official target of the current downside wave, which is located at the price of 1.2000, to reach the lowest, during the trading of the previous session 1.2000. From the technical point of view, the Canadian dollar rebounded, as a result of building on the support level represented by our target 1.2000, in addition to the stability of the intraday trading above 1.2030.

With a closer look at the chart, we find the pair hovers around the 1.2070 resistance level, and we find that the RSI continues to defend the bullish correction bias.

Therefore, we may witness a bullish bounce in the coming hours, targeting 1.2100, and then 1.2130, knowing that the confirmation of the recent breach extends the pair’s gains to be the way open to visit the pivotal resistance 1.2175.

From below, the pair traded below the pivotal support floor 1.2000 that is able to thwart the bullish corrective bias and force the pair to enter a strong descending wave, whose initial target is 1.1945.

S1: 1.2030	R1: 1.2100
S2: 1.1970	R2: 1.2130
S3: 1.1945	R3: 1.2175