USD/CAD: Has been in a range since the 10th Of June 2022

Mthokozisi Mpofu Knars Capital

The chart below shows USDCAD has been in a range since the 10th Of June 2022. This range has been a corrective move on the larger degree - since the impulsive move higher that we saw on the 8th of June. The larger degree correction shown below is an expanded flat.

Since the wave B high on the 14th of July 2022, we have moved lower in a corrective manner and believe the correction is over. We see the move lower to 1.27267 as the bottom and expect an impulsive move to new high's going forward.

The chart below also shows a channel that we have placed and are looking for a break and retest of that channel as our entry point with a stop loss below the current lows of 1.27267.

Key news events to look out for:
US Core Retail Sales m/m and US Retail Sales m/m.

Res: 1.29000; 1.29300; 1.29850

Sup: 1.27360; 1.27000; 1.26900

Author

Mthokozisi Mpofu

Knars Capital

Mthokozisi Mpofu is the Managing Director of Knars Capital Pvt Ltd, an investment advisory firm helping African SMEs secure growth capital and become investor-ready.

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