USD/CAD 1HR Analysis – Remain Long With The New Weekly Support!
USC/CAD may have established a new support with the Weekly resistance as shown in in my USD/CAD Weekly Analysis Idea from October 9th. We have several factors pointing to remaining long at this stage:
1. Currently in a Bull Channel
2. Weekly Resistance is starting to act like Support
3. We have a minor Bear Channel/Bull Flag on the hourly
4. Last weeks Weekly candle closed above the Weekly Resistance in a second attempt to break it
5. DXY is still above the 30EMA on the Daily Chart/9EMA on the Weekly
We should remain long in the short-term (Hourly Chart) and probably on the Daily/Weekly chart as well per my Weekly analysis. Long targets should be the previous Weekly Bear Channel Highs of 1.38600 and 1.39800 respectively. A long at this stage should have a protective Stop on the 1HR 200EMA with a first Take Profit at the top of the Hourly Bull Channel at 1.37500. From there, it's reasonable to hold some of your long position and add to it if we confirm a break above the channel to the next levels.
As always, trade at your own risk, you are responsible for your trades, and I hope this information was helpful.
Trade wisely and let us know what you think in the comment section below!