Forecast of the USD / CAD currency pair
Published on 30.04.2020 14:59

Forecast of the USD / CAD currency pair
Today we will look at the USD / CAD currency pair. The rapid increase in oil prices provided strong support for CAD, as a result of which USD / CAD sellers managed to reach a technical support level at 1.3855. I point out that after the formation of this level in the middle of the current month, the price was held for a long time at 1.3855–1.3915, forming a consolidation zone. As a result, before the breakout of resistance 1.3915 there is a risk of further decline.
Trading look:
The main scenario.
The next support test 1.3855 may end with its breakthrough and a decrease in the pair to a tight range of 1.3775-1.3785.
Alternative scenario.
This scenario takes into account the development of a more powerful correctional growth to 1.3950 and further to 1.4000. But even so, the global sentiment remains bearish.
The bullish scenario, which remains the main one, will be realized provided that oil prices continue to rise. Consequently, the development of the next wave of sales in the “black gold” market may activate an alternative scenario.
The above review is not a direct guide to action, but carries an exclusively recommendatory nature.


Andrew Masters

Analyst

The world of trading has no boundaries
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