At the end of the week, the US Dollar is trying to resume its growth against the Canadian Dollar after three days of a downward correction during which the pair declined from early June local highs.
Market situation is getting more stable, and investors have shifted the focus of their attention to statements made by representatives of major as well as to publication of macroeconomic statistics. Today the Institute of Supply Management releases data on US Manufacturing PMI for June. The index is expected to grow from 51.3 to 51.5 points that might support the US currency.
Support and resistance
on the is directed horizontally while the price range remains unchanged. is near the zero line. has rebounded down from the border of the overbought zone and started falling.
The indicators recommend waiting for clearer trading signals.
Support levels: 1.2930, 1.2900 (24 June level), 1.2861, 1.2829, 1. 2800 , 1.2762, 1.2700, 1.2654 (8 June low).
Resistance levels: 1.2962, 1.3000, 1.3037, 1.3100 (near 24, 27 and 28 June highs), 1.3143 (2 June high).
Long positions can be opened after the price rebounds from the level of 1.2930 and breaks out 1.2962, 1.3000 with targets at 1.3100, 1.3143 and stop-loss at 1.2900, 1.2930. Validity – 2-3 days.
Short positions can be opened after the price breaks down the level of 1.2900 with the target at 1. 2800 and stop-loss at 1.2950. Validity – 2-3 days.