USD/CAD consolidates around 1.3400, remains near multi-month highs
|- Loonie losses gains and USD/CAD rises back above 1.3400.
- Price holds near multi-month highs with the bullish tone intact.
After trading for a few hours below 1.3400, USD/CAD rose back above and reached at 1.3422, the highest level since Wednesday. As of writing, trades at 1.3405, headed toward the highest close since June 2017.
The pair rebounded from 1.3375/80 (daily low) supported by a stronger US dollar that gained momentum following US November PPI numbers and amid risk aversion. The loonie also lost strength as crude oil trimmed gains. The Dow Jones failed to hold to gains. After a positive opening, is now down 0.70%.
USD/CAD Levels and technical outlook
The pair continues to move with a bullish bias in an ascendant channel, close to the upper limit. The critical level is seen at 1.3250/55, the conjunction of the 20-day moving average and an uptrend line. A slide below could point to the end of the US dollar rally.
To the upside, resistance levels are seen at 1.3380, followed by 1.3400 (Dec 7 high) and 1.3430. On the flip side, support could be located at 1.3335 (Asian session high), 1.3290 (Dec 10 low) and 1.3255.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.