FX.co ★ USDCAD Potential For Bullish Rise | 22nd August 2022

On the H4, with the price above the ichimoku cloud and moving within the ascending trendline, we have a bullish bias that the price may rise from the 1st resistance at 1.30067, which is the 78.6% fibonacci projection to the 2nd resistance at 1.30508, which is in line with the previous swing highs and 100% fibonacci projection. Alternatively, the price may drop to the 1st support at 1.29415, where the 23.6% fibonacci retracement is. If the price break this level, we can expect it to drop to 2nd support at 1.29014, where the 38.2% fibonacci retracement is.

Trading Recommendation

Entry: 1.30067

Reason for Entry: 78.6% fibonacci projection

Take Profit: 1.30508

Reason for Take Profit: 100% fibonacci projection and previous swing highs

Stop Loss: 1.29415

Reason for Stop Loss:

23.6% fibonacci retracement