USD/CAD: Bulls reentered once again, after a correction.

July 18 , 2018

 

By analyzing the daily technical chart pair is making successively higher highs and higher lows and trading in pure uptrend market. Well after making a high of 1.3385 level we have seen some profit booking or we can say that some correction however this correction was almost 38.2% of fibonacci retracement line and from there it bounced back to north side once again, as it was predetermined.

 

The short term to intermediate term trend is up and in an uptrend market always buy in dips will be profitable strategy. From technical prospective an uptrend line is also lying on the daily chart and providing us bullish signal. And a current correction was an healty sign for bulls and it’s a second opportunity to buy for those who have missed earlier the further rally is still awaited towards the 1.3500 level. The way bulls are reacting it seems like 1.3500 level not a big deal for them and we will see on the chart in near term.

 

 

 

Presently pair is trading above all the major and minor moving averages and heading north side. Odds are in favor of bulls and we will keep our bias bullish on the pair as long as 1.3000 level remains intact. A bullish breakout on MACD indicator is about to come and will confirm the trend. RSI is also supporting the bulls from the positive territory. The 1.3350 level could be seen as immediate resistance level followed by 1.3500 level whereas 1.3000 level is strong key support level followed by 1.2950.

 

 

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