USD/CAD Forecast August 31, 2016, Technical Analysis

The USD/CAD pair broke higher during the course of the session on Tuesday, breaking well above the previous uptrend line. With that being the case, the market looks as if it is trying to go much higher, but at this point in time we are a bit overextended. I think that the 1.30 level below should be supportive, and as a result it’s likely that sooner or later we will find buyers every time we drop. Given enough time, the market should then reach towards the 1.32 level above, as the area offered quite a bit of resistance previously.