Traders today eye US retail sales, core retail
sales, and unemployment claims. It’s a big
day for USD. USDX is trading at a fresh 12-year high. We are expecting an
uptick on Core retail sales and retails sales from the negative zone. Tomorrow, it’s a busy day for CAD. Employment
change and unemployment change reports are due. The stronger US data
raises hope for the soonest interest rates hike. The greenback is painting a
better bull picture against CAD & Yen.
Today, at the Asian session, the USD is trading mild
lower against the CAD. The parallel resistance seems at 1.2800. At yesterday
session, we predicted a possible upside breakout. The pair managed to breach 1.2700
but made a double top at 1.2798. Bulls must close above 1.2800 as soon as
they can. At present, the pair has made a double top on a daily and monthly basis. This
is the mild concern, until the price closes below 1.2800. The weekly support is
set at 1.2350 and monthly is at 1.2300. The weekly resistance is found at 1.2800.
Bulls can challenge 1.3000 and 1.3250, in case the prices close above 1.2800. We
advised caution near 1.3000 odd levels, it’s a multi-month resistance. The intraday support is seen at
1.22730 and 1.2700. Overall, the picture favours buying on dips. We have been
recommending buying with sl 1.2350 with targets at 1.2695, 1.2800, 1.2965, and
1.3070 in the near and short term. 1.2798 is done. At yesterday’s
session, we advise buying with targets at
1.2660 and 1.2690. We can expect a strong upswing to loom above 1.2700. The pair
made a high at 1.2798.
Trade: we remain in buying.
Fresh buying above 1.2800 with targets at 1.2830,
1.2900, and 1.2965.
Risky traders can buy sl 1.2730.
We still opt to recommend buying on every dip. Now,
we are revising the targets at 124, 125.00, and 125.75. The prices are making
higher lows and higher highs on the h4 chart. Support has climbed from 119.80
to 120.50. It’s a good sign for further room on the upswing. If the price
closes above 121.85 on a weekly basis, we can see 128.00 as well. We advised
buying sl 119.80 with targets at 121.50 and 121.80. All the targets met. It’s a
one side move all the way to new highs. The pair has intraday support at
120.80. Another upswing looms above 122.0 with targets 123.00 and 123.20 in a
day or two. Later 124.00 and 125.00 are expected. Until a h4 candle closes above 120.80, the
long trade remains in play. The overall picture favours buying on dips.
Trade: we remain buyers.
The material has been provided by InstaForex Company – www.instaforex.com