USD/CAD: technical analysis and trading recommendations_03/17/2021
As a result of a multi-month decline, the USD / CAD reached the key long-term support level 1.2460 this week (ЕМА200 on the monthly chart).
Its breakdown will strengthen the tendency to further decline, and a breakdown of the support level 1.2170 (Fibonacci level 50% of the downward correction in the wave of USD / CAD growth from 0.9700 to 1.4600) will finally return USD / CAD into a long-term bearish trend.
In an alternative scenario, the pair may correct and rise to the short-term resistance level 1.2542 (ЕМА200 on the 1-hour chart), and in case of its breakdown - to the resistance level 1.2660 (ЕМА50 on the daily chart). But even in case of its breakdown, growth above the resistance level 1.2740 (Fibonacci level 38.2%) is unlikely.
The bearish trend in USD / CAD prevails; below the key resistance levels 1.2890 (ЕМА144 on the daily chart), 1.2990 (ЕМА200 on the daily chart), short positions are preferred.
Support levels: 1.2460, 1.2170
Resistance levels: 1.2542, 1.2590, 1.2636, 1.2660, 1.2740, 1.2890, 1.2990, 1.3070, 1.3150
Sell Stop 1.2450. Stop-Loss 1.2520. Take-Profit 1.2400, 1.2300, 1.2170
Buy Stop 1.2520. Stop-Loss 1.2450. Take-Profit 1.2542, 1.2590, 1.2636, 1.2660, 1.2740, 1.2890, 1.2990, 1.3070, 1.3150