USD/CAD technical analysis: The pair is testing the psychological 1.32 resistance again
|- USD/CAD tests 1.32 again as more USD strength kicks in this morning.
- Oil has also met some resistance and is trading 0.80% lower adding to the negative sentiment for CAD.
USD/CAD is pushing higher in early EU trade and is now looking to take on the 1.32 resistance level.
The pair is already trading 0.18% higher and has been mixed of late.
The reason for the uncertain sentiment is that the positive trade war sentiment is good for oil. This, therefore, pushes CAD higher but the USD has been rising too off the back of the improved risk environment.
This morning as oil takes a break from its recent rally it seems its the dollars turn to push. In general terms, the greenback is performing well against most of its major counterparts.
USD/CAD Daily Chart
Looking at the chart now, if the resistance level breaks then the price could make a run-up to the trendline.
I am sure we are going to hear more on the US-China trade front this afternoon so keep an eye on the headlines.
The RSI has also moved into a positive zone above the 50 mid-line and this could indicate a move higher is in the offering.
If the level on the chart manages to fend off a move higher then the price may start to consolidate.
On the 4-hour chart the price has made a higher low and only if the current resistance is taken out will it make a higher high wave so it seems we are at a pivotal moment.
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Additional Levels
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