08, August 2016

USD/CAD (a 4-hour chart)

USD/CAD (a 4-hour chart)

General overview

Unemployment Rate in Canada came in worse than expected. Change in Employment showed -31.2K. At the same time the U.S. dollar strengthened which supported the pair.

Current situation

The USD/CAD closed bullish on Friday. The pair could escalate up to 1.3200. The resistance is at 1.3200, the support comes in at 1.3100.

The indicators generate a buy signal. MACD is in the positive area. The histogram grew which indicates the buyers’ strength. RSI approached the overbought area.

The price is hovering above the 50, 100 and 200 Day EMAs in the 4 hours chart. The moving averages are moving upwards.

Trading recommendations

The pair may bounce back from the resistance 1.3200 towards the 1.3100 mark. It is a good opportunity to buy the pair when it became cheaper. The buyers’ targets are the levels 1.3200 and 1.3300.