19 July USDCAD Technical Analysis: Pair recovers overnight losses


The USDCAD pair caught some fresh bids on Thursday, with bulls now eyeing a move back above the 1.3200 handle. What technical levels should traders watch? This 19 July USDCAD Technical Analysis will provide you with necessary guidance. 

19 July, GKFX – A combination of supporting factors helped the pair to stall overnight sharp retracement slide from 2-1/2 week tops and find decent buying interest near the 1.3160 region. 

USDCAD Fundamental Highlights

The US Dollar remained supported by upbeat economy outlooks from the Fed Chair Jerome Powell and the central bank’s Beige Book report, which reinforced gradual Fed rate hike prospects. 

This coupled with a negative trading sentiment around crude oil prices weighed on the commodity-linked currency – Loonie and provided an additional boost.

The pair has now recovered all of its previous session’s losses and a follow-through up-move, led by some fresh buying/short-covering, now looks a distinct possibility. 

Today’s economic docket, featuring the release of Canadian ADP National Employment Report, along with Philly Fed Manufacturing Index and the usual initial weekly jobless claims data from the US, will now be looked upon for some fresh impetus.

19 July USDCAD Technical Analysis

Immediate resistance is pegged near the 1.3215 level, above which the pair is likely to head back towards retesting overnight swing high level of 1.3260 before eventually darting to reclaim the 1.3300 mark.

On the flip side, the 1.3165-60 area now seems to have emerged as an immediate support, which if broken might turn the pair vulnerable to slide back towards 1.3130 support en-route the 1.3100 handle. 

Disclaimer

This article 19 July USDCAD Technical Analysis was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you, then this should be solely at your discretion, and GKFX will not be held accountable in any way.

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