USD/CAD: technical outlook
USD/CAD tried to continue uptrend last week, but it clearly lacked upside momentum.
The pair may stay below 1.0420 (May 29 high) in the near term. Ichimoku, MACD and RSI at H4 allow some consolidation. A dip below 1.0295/85 might bring the pair to 1.0220. We expect support in this area to hold bringing a rebound, so consider going long from here. There’s also some support at 1.0325, 1.0270 and 1.0240. On the upside, resistance lies at 1.0380/90, 1.0420, $1.0450 and 1.0500.
In the longer term the outlook will remain bullish as long as USD/CAD is trading above 1.0100.
Chart. Daily USD/CAD