Support levels: 1.0000, 0.9980, 0.9930
Resistance levels: 1.0079, 1.0290, 1.0380
On a 4-hour graph the USD/CAD rebounded after it could not break through the support level near 0.9980-1.0000. Last month the pair failed to break out the parity level. Nevertheless, we cannot exclude the possibility that the pair will successfully breach the parity level later this week. At present the viewpoint is neutral, since the USD/CAD came back to the range of 0.9980-1.0079. If the USD/CAD reverses, then the breakthrough of 1.0590 will lead to the uprising movement with the target to 1.0380. The breakout of 1.0380 will denote that the pullback from 1.0680 is over and further advance should be expected. In a midterm the currency pair will probably remain within the boundaries of its wide range between 1.0000 and 1.0750-1.0850. If the reversal takes place, then the breakout of 1.0680 will confirm the end of the consolidation and that the downtrend from 1.3063 is breached. In this case it is forecasted that the USD/CAD will move upwards 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.
