USDCAD has remained range-bound since late last year.
However, despite the indecision, the pair’s higher time frame technicals couldn’t be cleaner.
This is especially true from the weekly time frame.
Notice how USDCAD has moved within a massive triangle since closing above the July 2021 trend line last September.
I’ll treat USDCAD as a ranging market while between these two levels.
But in order for bulls to tag the March 2020 (COVID) trend line again, they have to clear the short-term level from April.
As of today, that level comes in at 1.3515.
It will take a 4-hour and potentially daily close above this April trend line to expose higher levels, including the 1.3550 area and 1.3650.
We may see USDCAD extend toward the March 2020 trend line at 1.3780, but 1.3550 and especially 1.3650 come first.
Alternatively, a 4-hour close above the April trend line followed by a close back below would signal a fakeout and likely send USDCAD back to 1.3350.
Join Discord to watch today’s members-only video on USDCAD and see my trades in real-time, including entries, stop loss levels, and targets.
