USDCAD possibly going for 1.3050+

2 min read
Nenad Kerkez

Nenad Kerkez

Head of Trading

2015-07-16_10-48-09

Greece situation, BOC’s interest rate cut and general safe heaven demand reflected on USDCAD pair which is breaking through important resistance levels. Adding to USDCAD rally Canada’s banks also lowered their prime lending rates. Most banks lowered their prime rates by 0.3 % this year.

Technically USDCAD has broken a previous triple top 1.2805 and it is consolidating around 1.2830 at the time of the writing. Any pullback towards 1.2870-50 region could be treated as buy into dips as POC zone marks important confluence spot (DPP, L3, 50.0).
The pair needs to break and close above 1.2980 to proceed towards H4 -1.3050 and further towards 1.3150. 4H close above 1.2980 is preferred. However if the momentum remains strong within the bullish context we might see a direct rise towards 1.2980 zone.

If the pair dips below 1.2805 it will be contained within NEUTRAL-to-BULLISH consolidation and will negate the possible move to he upside at this point.

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read the original article on AdmiralMarkets.com

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