Thu, Jun 08, 2023 @ 18:47 GMT

USD/CAD Daily Outlook

Daily Pivots: (S1) 1.3496; (P) 1.3530; (R1) 1.3553; More….

Intraday bias in USD/CAD remains on the downside for the moment. Fall from 1.3860 is seen as the third leg of the corrective pattern from 1.3976. Deeper decline would be seen to 1.3224/61 support zone. But strong support should be seen around there to bring rebound. Still, break of 1.3650 support turned is needed to indicate completion of the decline first. Or further fall will remain in favor in case of recovery.

In the bigger picture, the up trend from 1.2005 (2021 low) is still in progress. Break of 1.3976 will confirm resumption and target 61.8% projection of 1.2401 to 1.3976 from 1.3261 at 1.4234. Firm break there will pave the way to long term resistance zone at 1.4667/89 (2016, 2020 highs). On the downside, sustained break of 55 week EMA (now at 1.3282) is needed to confirm medium term topping. Otherwise, outlook will remain bullish even in case of deep pull back.

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