Currency pair US Dollar to Canadian Dollar USD/CAD continues to move within the growth and bullish channel. At the time of publication of the forecast, the exchange rate of the US dollar to the Canadian dollar is 1.3501. Moving averages indicate the presence of a short-term bullish trend in the pair. Prices are again testing the area between the signal lines, which indicates pressure from buyers and a potential continuation of the growth of the price pair in the near future. At the moment, it is worth considering the demand for the development of a minor price correction and a test of the support level near the area of 1.3465. Next, a rebound upwards and continuation of the growth of the currency pair on Forex. The area above the level of 1.3685 is the potential target of such a movement of the instrument.
Canadian Dollar Forecast for May 16, 2023
A test of the resistance line on the relative strength indicator will be an additional signal in favor of the growth of Canadian Dollar quotes. The second signal in favor of the rise will be a rebound from the lower border of the bullish channel. A fall and breakdown of the area of 1.3425 will be the cancellation of the option of growth of the currency pair USD/CAD on Forex. This will indicate a breakdown of the support area and the continuation of the fall of quotes to the area below the level of 1.3175. It is worth waiting for the confirmation of the growth of the pair with a breakdown of the resistance area and the closing of the quotes of the USD/CAD pair above the level of 1.3585.
Canadian Dollar Forecast for May 16, 2023 suggests a demand for a test of the support area near the level of 1.3465. Further, the continuation of growth in the region above the level of 1.3685. An additional signal in favor of the rise of the Canadian Dollar on Forex will be a test of the trend line on the relative strength indicator. A fall and breakdown of the level of 1.3425 will cancel out the option of growth in USD/CAD quotes. This will indicate a continuation of the decrease in the value of the asset with a potential target below the level of 1.3175.
Looking for the Best Forex Broker? We trade at RoboForex. You can receive a rebates from each trade when registering using our partner link