FxWirePro: USD/CAD runs out of steam but maintains bullish outlook
Friday, October 7, 2016 2:18 PM UTC
- The USD/CAD pair pared gains on Friday after data showed U.S. employers added fewer workers in September but other aspects of the jobs report suggested further improvement in the labor market.
- Oil prices were little changed on Friday supported by the prospect of a crude production cut by OPEC countries even though doubts lingered over the cartel's ability to wipe out a persistent excess of oil.
- The pair remains strong, as the Canadian dollar is set to weaken further ground against dollar in the short term.
- To the upside, the strong resistance can be seen at 1.3294, a break above will take the pair towards next resistance level at 1.3362.
- To the downside immediate support can be seen at 1.3208 levels, a break below will open the door towards next level at 1.3181.
Resistance Levels
R1: 1.3243 (23.6% Retracement level)
R2: 1.3294 (Daily high)
R3: 1.3362 (March 11th high)
Support Levels
S1: 1.3208 (38.2% Retracement level)
S2: 1.3181 (50% Retracement level)
S3: 1.3154 (61.8% Retracement level)