USDCAD Rebounds, Targeting 1.31

USDCAD accelerate the upward move during US session as crude oil prices sink over 3 percent down to 55 dollars per barrel and despite strong Canada ADP Employment Change which climbed from previous -16K to 30.4K in June. The Bank of Canada kept rates unchanged earlier this week at 1.75% as widely expected by markets and most investors don’t expect rate cut by the central bank till the end of the year.

On the technical side, the bears are still in control as the pair trading below all major daily moving averages, but today the short term momentum turns more positive. First support stands at 1.3041 the daily low and then at 1.30 round figure. Immediate resistance for the pair stands at 1.3095 the daily high from US session, while a break above might trigger some aggressive buying, sending the pair to the next resistance at 1.3142 the high from July 10th. We can wait today to see if the pair closes above 1.3069 the 200 hour moving average, if that happens a long position for a fast long trade targeting 1.3142 can be attempted accompanied by a stop loss at 1.3062 which must be placed as the trend is still bearish.Don’t miss a beat! Follow us on Twitter.

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