USDCAD- Point & Figure

USDCAD –

As oil prices begin to tumble, we are looking at the US Dollar / Canadian Dollar during the London session for our Chart of The Day.

The point and figure chart above indicates the pair is still pushing towards the upside longer-term. Note the bullish support line which has kept demand for the Canadian Dollar in check for some time now.

Currently at 1.33, if the trend continues, then we could well see a re-test of the resistance area located at 1.3711. Above here, the previous high of 1.45 towers above everything else in terms of a logical target.

Should the sentiment to either crude oil or the Canadian Dollar change, the price to watch will be the 1.30 level. Not only because of the psychological round number aspect but it would also spell a complete change in the overall trend if supply increased below this point.

.@adamt_trading

Sources: Go Markets, Meta Trader 5, TradingView, Bloomberg

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