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USD/CAD Poised To Challenge Next Support

Published 03/03/2016, 09:58 AM
Updated 01/31/2022, 02:45 AM
USD/CAD
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CL
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An unexpected jump in crude oil inventories (it influences the price of petroleum products, which affects both growth and inflation) had a small impact on USD/CAD yesterday as gains were limited and the pair continued to tank during the US session.

The USD/CAD is technically bearish and we can see a strong POC at 1.3465-80 (H4, X cross, EMA89, the channel top) that we can use for possible short trades. However the price is showing sellers in now moment (green rectangle) and we could see an immediate rejection towards 1.3390. If that doesn't happen eyes should be on POC. The pair is initially targeting 1.3390 and a strong momentum or H1/H4 close below 1.3365 will target 1.3320-10, the channel bottom and L5 confluence zone.
USD/CAD H1 Chart

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