Forex Trading: USDCAD Technical Analysis – October 16, 2019

The US Dollar (USD) inched high against the Canadian Dollar (CAD) on Wednesday, increasing of USDCAD to more 1.3400 after some key budgetary news releases. The technical inclination may stay bearish because of the higher low in the recent upside move.

USD/CAD Technical Analysis

As of this writing, the pair is being traded around 1.3211, the prompt resistance at 38.2% Fib level that avoids the price from moving further can be noted around 1.3228,  ahead of 1.3318, the coinciding of two trend lines resistance and then the key horizontal resistance of 1.3382, is exhibited in the given chart.

USDCAD

Conversing with the downside,  the immediate trendline support can be noted at 1.3201which likely prevent the price from further decline afterward at the 23.6%  Fib level support of 1.3191,  and then at 1.3133,  major horizontal support is noted as shown in the given above chart. The technical bias shall remain bearish as long as 1.3228, resistance level remains intact.

CAD Net Change in Employment

In Canada, the figure concerning the net change in employment decreased to 53.7k  in this month, when contrasted with 81.1k during the prior month, beyond the expectation of economist which was 10.0k. The information is copied from the news released by the Statistics Canada

The employment Change is a proportion of the adjustment in the number of utilized individuals in Canada. As a rule, an ascent in this marker has a positive indicator for purchaser spending which invigorates monetary development. In this manner, a high perusing is viewed as positive, or bullish for the CAD, while a low perusing is viewed as negative or bearish.

Trade Idea

Considering the general price behavior in the course of the most recent few days, selling the USDCAD around current levels can be a decent choice in the short to medium term as the value pursues the bearish pattern in the progressing upside move.

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