USDCAD Daily Analysis – May 23, 2023

The USDCAD currency pair has been trading within a well-defined range between 1.3403 and 1.3567, displaying a prolonged period of sideways movement. Traders are closely monitoring the price action as the pair approaches key resistance and support levels within this range.

Currently, the pair is facing resistance at the 1.3525 level. A successful breakout above this resistance could potentially propel the price towards the next resistance level at 1.3567. If the bullish momentum continues, the pair may even aim for the 1.3667 resistance level. Traders should closely monitor the price action around these resistance levels, as they are important barriers that need to be overcome for further upward movement.

On the other hand, near-term support is seen at 1.3465. A breakdown below this support level could trigger a decline towards the next significant support level at 1.3403. If the selling pressure intensifies, the pair might aim for the 1.3300 support level. Traders should pay close attention to how the price behaves around these support levels, as they can provide valuable insights into potential bearish pressure.

In conclusion, USDCAD continues to trade within a sideways range between 1.3403 and 1.3567. Traders should closely monitor the price action around key resistance at 1.3525 and support at 1.3465. A breakout above resistance could lead to further upside movement, while a breakdown below support may result in a bearish bias. Adapting strategies to the current range-bound environment and managing risk effectively are essential for navigating the USDCAD pair successfully.