USDCAD likely to re-test upper levels

After a strong sell-off, UsdCad looks like its moving sideways now and it will likely re-test the 1.337 level which was a confirmed resistance and 38.2 fibo level.

Rsi show bullish divergence on H4 and it pooped off oversold zone on daily timeframe.

The first resistance zone should be our red rectangle which is 50ema H4 and daily zone at 1.33 level.

Stop losses should be placed below current low around 1.315

A potencial further target is the 1.34 zone which will be a huge resistance.

The entry point should be executed based on shorter timeframes






This is not a trading signal and you should trade based only on your personagel strategies and trading plan.

Comment:

The pair continue to move sideways on this indecision zone, no longs should be activated before a clear breakout and close above of current resistance at 1.33

Comment:

Price keep failing to close above resistance zone.

Comment:

So far the price is unable to close above current resistance, no trade opportity present until now.

Comment:

Price is on our first resistance zone now and its struggling a little to overpass it, i believe it'll keep moving sideways for a while and then it'll decide your way, my guess its UPSIDE, as previous written on this idea.

Comment:

In short term, at H4 or even H1, we are bearish and this upward movement can be just a correction before another sell off

However if we look at WEEKLY timeframe , this sell off was a correction from the strong UPWARD movement and now it looks like its losing his momentum.

Its all up our P.O.V , i do prefer of course, the bigger timeframes and overall im bullish for long term.

Comment:

So the price tested the 1.33 level as expected, thanks for the support =)