Canadian Dollar at Risk as USD/CAD Attempts Uptrend Resumption
The Canadian Dollar may be vulnerable to the US Dollar with USD/CAD attempting to resume the broader uptrend.
USD/CAD is attempting to confirm a breakout above the June 26th, 2020 high at 1.3716. Still, prices need to clear the September 2022 high at 1.3833 to open the door to extend gains.
Keep a close eye on RSI, negative divergence is present. This is a sign of fading upside momentum which can at times precede a turn lower.
Such an outcome could open the door to testing the 20-day Simple Moving Average (SMA). The latter may reinstate the dominant upside focus. But, the line is currently sitting at 1.3350. With that in mind, be mindful of near-term downside potential before the broader uptrend could resume.
USDCAD
USD/CAD is attempting to confirm a breakout above the June 26th, 2020 high at 1.3716. Still, prices need to clear the September 2022 high at 1.3833 to open the door to extend gains.
Keep a close eye on RSI, negative divergence is present. This is a sign of fading upside momentum which can at times precede a turn lower.
Such an outcome could open the door to testing the 20-day Simple Moving Average (SMA). The latter may reinstate the dominant upside focus. But, the line is currently sitting at 1.3350. With that in mind, be mindful of near-term downside potential before the broader uptrend could resume.
USDCAD