FX.co ★ USD/CAD Intraday technical levels and trading recommendations for June 6, 2017

Since April 2016, the USD/CAD pair has been trending upward within the depicted ascending channel.

In December 2016, a bullish breakout above 1.3300 (50% Fibonacci level) was expected to allow a further advance toward 1.3700-1.3750 (the upper limit of the depicted channel).

However, a significant bearish rejection was expressed around 1.3580 (recently established top).

During the bearish pullback, the price level of 1.3300 (50% Fibonacci Level) failed to provide enough support to the pair.

This allowed a further bearish movement toward the price level of 1.2970 (61.8% Fibonacci level) where a valid BUY entry was offered in February 2017.

A few weeks ago, a bullish breakout above 1.3300 (50% Fibonacci Level) enhanced a further advance toward 1.3440 and 1.3580.

The market remains bullish as long as the USD/CAD pair continues trading above 1.3450-1.3500 (Confluence of prominent tops and recent uptrend line).

Trade recommendations:

Any bearish pullback towards 1.3450 should be considered for a valid BUY entry. S/L should be set as daily closure below the price level of 1.3400.

T/P levels would be located around 1.3630, 1.3750, 1.3950 and finally 1.4030 (where the upper limit of the depicted channel meets Fibo Expansion 100%).