USD/CAD Price Analysis: The 61.8% golden ratio could come under pressure
|- USD/CAD bulls are seeking a bullish continuation for the days ahead.
- The daily Fibonacci retracements levels are under pressure.
The price of USD/CAD has so far corrected to test the 38.2% Fibonacci retracement and on towards the 50% mean reversion mark near 1.2495. 1.2486 is where the November 9 highs are, which could be tested as well, in line with the 61.8% Fibo, aka the golden ratio.
USD/CAD daily chart
Anywhere between these levels support can be expected to lead to a bullish continuation.
USD/CAD H1 chart
From an hourly perspective, the day has not been favourable to the bullish outlook. The price continued to sink and is now well below the bearish 21 and 50 EMA death cross.
1.2503 is about to come under pressure as being the latest resistance prior to the rally. This could act as support. On a break, then the 1.2480s will be in focus and expected to hold initial tests. So long as the 200-EMA remains intact, then the bias will stay with the daily bullish outlook.
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.