USD/CAD Resumes Uptrend but Faces Resistance at 1.3400

Key Resistance Levels: 1.4200, 1.4400, 1.4600
Key Support Levels: 1.3400, 1.3200, 1.3000

USD/CAD Price Long-term Trend: Bullish
USD/CAD has resumed an upward move. On September 23 uptrend; the retraced candle body tested the 50 % Fibonacci retracement level. This indicates that the pair will rise and reach the 2.0 Fibonacci extension level. That is, the pair will rise and reach level 1.3698.

Daily Chart Indicators Reading:
The 50-day SMA and the 21-day SMA are sloping upward indicating the uptrend. The pair has a bullish crossover as the 21-day SMA crosses over the 50-day SMA. The Loonie has risen to level 54 of the Relative Strength Index. The pair is now in an uptrend zone and above the centerline 50.

USD/CAD Medium-term Trend: Bullish
On the 4-hour chart, the pair is in an uptrend. The Loonie is facing resistance at the 1.3400 high. The USD/CAD has been repelled thrice at the current resistance. The pair has resumed a fresh uptrend to retest that level.

4-hour Chart Indicators Reading
Presently, the SMAs are slowing upward indicating that the market is rising. The Loonie is above 80% range of the daily stochastic. The market has reached the overbought region. Sellers may emerge to push prices down.

General Outlook for USD/CAD
The USD/CAD is currently rising but faces resistance at 1.3400. The Loonie will rise to a new high if the current resistance is breached According to the Fibonacci tool, the market will reach a low of 1.3698.


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