Amid the upward correction in oil price since 20 January, the CAD has grown by 100 points in the pair with USD, regaining 2 month losses within 3 weeks.
On the daily and weekly charts the indicators OsMA and Stochastic are in the sell zone. The price has broken the key support level of 1.4045 (ЕМА200 on the four-hour chart) and 1.3920 (ЕМА50 on the daily chart) and is now near the lower limit of the upward channel on the daily chart (1.3770).
Today’s data on NFPR will influence on the further movement in the pair with the USD until the US Fed meeting in March.
The pair USD/CAD has potential for the further decline to support levels of 1.3450 (ЕМА144) and 1.3245 (ЕМА200 on the daily chart). If NFPR will be below the forecast, the above scenario is more likely.
Otherwise, consolidation of the price above the levels of 1.3920 and 1.4045 will return the price to uptrend in the channel with the upper limit of 1.4700 on the daily chart.
The all-time high in price at the level of 1.6200 was recorded in January 2002.
Support levels: 1.3630, 1.3450 and 1.3245.
Resistance levels: 1.3770, 1.3920 and 1.4045.
Buy Stop: 1.3810. Stop-Loss: 1.3760. Take-Profit: 1.3900, 1.4000, 1.4045, 1.4100 and 1.4200.
Sell Stop: 1.3690. Stop-Loss: 1.3730. Take-Profit: 1.3630 and 1.3500.