JStanleyFX

USD/CAD Reversal - Price Back in Support Zone

Long
FX_IDC:USDCAD   U.S. Dollar / Canadian Dollar
A big zone is in play in USD/CAD . This is the same area that held the lows coming into 2021, eventually becoming resistance in April before USD/CAD really broke down. The month of June saw support build just above the 1.2000 level, after which prices began to trend higher and continued to do so into this week.

On Monday the breakout took on a life of its own, accelerating up to the 1.2800 handle. And the past two days have seen a stark reversal of that breakout. But, prices are now testing that big zone for support and a hold above 1.2425 or, optimally, 1.2500, keeps the door open for bullish trend continuation strategies.