USDCAD Daily Analysis – August 9, 2023

USDCAD has extended its upside move from 1.3092 to reach as high as 1.3501 before experiencing a pullback.

The subsequent pullback suggests that a consolidation phase for the uptrend may be underway. This could result in range trading between the levels of 1.3375 and 1.3501 in the coming days.

As long as the support level at 1.3375 holds, there is potential for the upside move to resume. In such a scenario, a further rise towards the 1.3600 level could be expected after the consolidation.

On the downside, a breakdown below the support at 1.3375 could bring the price back to test the next support level at 1.3318. A further decline below this level would aim for the 1.3250 area.

Traders should monitor the price action and the behavior around the support and resistance levels mentioned for potential breakout or reversal signals.

To summarize, USDCAD has experienced an upside move and is currently in a consolidation phase. Watching the price’s behavior around the key levels of 1.3375 and 1.3501 will be important, as a breakout or breakdown could determine the next directional move. Traders should stay attentive to key levels and observe the price action for possible trading opportunities.