Article details
USD/CAD remained in consolidation below 1.4247 last week, maintaining a neutral outlook. Key levels to watch include 1.3965 (resistance-turned-support) and 1.4247 (potential breakout point). A break above 1.4247 could extend the rally toward 1.4290, the 61.8% retracement level of the recent range. Conversely, a deeper pullback is possible but likely to find support near 1.3965.
For traders, this consolidation phase offers opportunities to monitor key technical levels. A breakout above 1.4247 would signal renewed bullish momentum, while a breakdown below 1.3965 could trigger a bearish correction. The pair’s performance will depend on broader USD strength and crude oil price movements, given Canada’s commodity-linked economy.
MENA investors should focus on the 1.4247-1.4290 range as critical for trend confirmation. If the pair breaks above 1.4290, it may target higher Fibonacci levels. Conversely, a sustained move below 1.3965 could test 1.3700-1.3600. Traders should also watch for central bank policy shifts in the US and Canada.
