Wed, Feb 08, 2023 @ 18:01 GMT
HomeContributorsTechnical AnalysisUSD/CAD Stands On Crucial Support Area

USD/CAD Stands On Crucial Support Area

The currency pair has decreased today and has resumed the bearish movement as the USDX has touched fresh new lows. The Loonie has dragged the rate down, but remains to see what will happen and how will react after the Canadian and the US data will be sent to the public. We may have some volatility in the afternoon, so you should be careful not to ruin your account.

USD/CAD has squeezed a little in the last hours and waits for the US data to shake the markets again. The US PPI is expected to increase by 0.4% in September, beating the 0.2% growth in the former reading period, while the Unemployment Claims could decrease again, from 260K to 251K in the previous week. The Core PPI may increase as well by 0.2%, more versus the 0.1% in the former reading period.

The price had reached and retested the median line (ml) of the minor ascending pitchfork and now is pressuring the 1.2460 broken static support. I’ve said in the previous reports that the rate could come down to retest the median line (ml) and the 1.2460 static support, now we’ll have to see what will happen because a rejection will send the rate towards the median line (ML) of the major descending pitchfork and towards the 1.2678 static resistance.

However, we have to wait to escape again from the minor descending pitchfork’s body to be sure that will start a larger increase.

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MultiBank Exchange Group
Multibank Exchange Group (MEX Group) is a multinational financial derivatives dealer. Established in California in 2005, MEX has offices in several countries around the world, including the US, the UK, Australia and China. Mex Group is regulated by the Australian Securities and Investment Commission (ASIC) in Australia, the Ras al Khaimah Free Trade Zone (RAK) in the United Arab Emirates and the Financial Services Commission (FSC) in the British Virgin Islands.

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