USD/CAD: Trade ideas for July 22
Authored by Pelipe Erazo
The USDCAD has moved in range in the last hours, though this pair remains strong in the bullish trend, so a retracement to the 50.0 Fibo level (1.0712) is very likely. The Loonie stays below the 200 EMA, which adds bearish pressure on this pair. If the USDCAD manages to make a breakout in the support level of 1.0712, it's expected to fall to the level of 1.0690.
However, the USDCAD may do a rebound at current levels and go up to the resistance level of 1.0830, where the 500 EMA on the H4 chart is located. If the pair manages to make a breakout at that level, the next target would be the resistance level of 1.0876. The CCI indicator is pointing to the upward.
Trading recommendations: Place buy orders at the current levels with take profit at the resistance level of 1.0830 or 1.0876, and stop loss at the level of 1.0680.