Published: 2024-04-23T16:06:30.000Z
Chart USD/CAD Update: Lower in both USD- and CAD-driven trade
Senior Technical Strategist
1
Cautious trade around 1.3700 has given way to a USD- and CAD-driven break lowe
Levels | Imp | Comment | Levels | Imp | Comment | |||
---|---|---|---|---|---|---|---|---|
R4 | 1.3855 | * | 10 Nov (w) high | S1 | 1.3650 | congestion | ||
R3 | 1.3845 | * | 16 Apr YTD high | S2 | 1.3590/00 | ** | 38.2% ret of Dec-Apr rally; break level | |
R2 | 1.3800 | ** | congestion | S3 | 1.3550 | * | break level | |
R1 | 1.3700 | ** | congestion | S4 | 1.3500/10 | ** | congestion; 50% ret of Dec-Apr rally |
16:50 BST - Cautious trade around 1.3700 has given way to a USD- and CAD-driven break lower, with immediate focus on 1.3650. Daily readings continue to track lower, highlighting a bearish tone and room for still further losses in the coming sessions. Support is at the 1.3590 Fibonacci retracement and 1.3600, but a tick lower in overbought weekly stochastics highlights potential for a further break and continuation of April losses towards 1.3550. Meanwhile, a close above 1.3700 would turn sentiment neutral and prompt fresh consolidation beneath 1.3800.