USD/CAD Weekly Outlook

USD/CAD stayed in consolidation from 1.3464 last week and outlook is unchanged. Initial bias stays neutral first and another fall cannot be ruled out. But downside should contained well above 1.3202 support to bring rise resumption. On the upside, break of 1.3464 will extend the rally from 1.2951 to 100% projection of 1.2951 to 1.3329 from 1.3202 at 1.3580 next.

In the bigger picture, price actions from 1.3664 (2018 high) are seen as a corrective move that has likely completed at 1.2951. Rise from 1.2061 (2017 low) might be ready to resume. Decisive break 1.3664 will target 61.8% projection of 1.2061 to 1.3664 from 1.2951 at 1.3941 next. For now, this will remain the favored case as long as 1.3202 support holds, in case of deep pull back.

In the longer term picture, outlook remains unchanged that price actions from 1.4689 (2016 high) are forming a corrective pattern. As long as 1.2061 support holds. Up trend from 0.9406 (2011 low) is in favor to resume through 1.4689 at a later stage.