USD/CAD Breakout Reaches Psychological Level Ceiling

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The USD/CAD rallied to 1.0900 as prices broke out of a symmetrical triangle pattern. The reason this move now has my attention is from a trade management perspective. The psychological level of 1.0900 is a potential ceiling and even though prices rallied though it the previous high was 1.0924. It’s more a matter of whether USD/CAD buyers will support this level.

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The current market cycle is in distribution and this would put further follow-through in question. Watch the crude oil market for a rebound after what could be an over-reaction in the U.S. Dollar and the subsequent push lower in commodities.

So what’s the next set of support and resistance levels for this USD/CAD move? Take a look at the Expected Price Range graph below:

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Have a great weekend!