Support levels: 1.0079, 0.9980, 0.9930
Resistance levels: 1.0292, 1.0380, 1.0513
On a 4-hour graph the USD/CAD has successfully broken through the resistance level of 1.0266. Now the next key resistance level is placed on the 200-Day moving average 1.0292. The next resistance is set on 1.0380. The technical support is placed at 1.0079.
AT present, the viewpoint on the currency pair is bullish. As it was mentioned before, the breakout of 1.0266 will lead to uprising movement with the target to 1.0380. Further, the breakthrough of 1.0380 will mean that the pullback from 1.0680 is over and further increase should be awaited. On the other hand if the USD/CAD continues to fall and breaches 1.0079, then this will lead to decline with the target to 0.9980 where the rebound to up is expectable.
This year the levels near parity were a good support, last month the USD/CAD failed to breach the parity level.
In a midterm the currency pair will probably remain within the bounds of its wide range of 1.0000 and 1.0750-1.0850. Nevertheless, in case of the reversal the breakout of 1.0680 will confirm the end of the consolidation and that the downtrend from 1.3063 is broken through. In this case it is forecasted that the USD/CAD will move to the Fibonacci correction level 38.2 from 1.3063 to 0.9929 at 1.1126 with the next target to the Fibonacci correction level 61.8 at 1.1866.
