{"id":4422,"date":"2021-03-03T08:35:00","date_gmt":"2021-03-03T08:35:00","guid":{"rendered":"https:\/\/youtrading.com\/en\/?p=4422"},"modified":"2021-03-03T15:06:11","modified_gmt":"2021-03-03T15:06:11","slug":"usdcad-technical-analysis-breakout-expected-above-1-2700","status":"publish","type":"post","link":"https:\/\/youtrading.com\/en\/usdcad-technical-analysis-breakout-expected-above-1-2700\/","title":{"rendered":"USDCAD Technical Analysis &#8211; Breakout expected above 1.2700"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"4422\" class=\"elementor elementor-4422\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<div class=\"elementor-inner\">\n\t\t\t\t<div class=\"elementor-section-wrap\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-b1e29cf elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"b1e29cf\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e0287b8\" data-id=\"e0287b8\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ff9f415 elementor-widget elementor-widget-text-editor\" data-id=\"ff9f415\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>The US dollar is once again attempting to break higher against the Canadian dollar, after the pair dropped to its weakest trading level in over three-year last week, and then rebounded by around 250 points.<\/p><p>A combination of US dollar strength and a downside correction in <a href=\"https:\/\/bit.ly\/2NWFAe8\" target=\"_blank\" rel=\"noopener\">oil prices<\/a> is currently creating bullish tailwinds for the <a href=\"http:\/\/bit.ly\/334hUb4\" target=\"_blank\" rel=\"noopener\">USDCAD<\/a>. Going forward, sustained strength above the 1.2700 resistance level could provoke the next leg higher in the commodity-related pair.<\/p><p>Hopes are high that the latest move higher could be the start of something meaningful, as the USDCAD pair has lost over 2,000 points since February 2020. Continued gains above the 1.2700 level could provoke a test of the 1.3000 level, and possibly much higher.<\/p><p>Any rallies in the USDCAD pair have been sold sharply over recent months as oil prices have continued to rise and the <a href=\"https:\/\/bit.ly\/37m9dMU\" target=\"_blank\" rel=\"noopener\">US dollar index<\/a> has broken down, despite promising to rebound many times.<\/p><p>Without a doubt, US dollar index bulls need to gain traction above the 91.50 level this week in order for last week\u2019s momentum to follow through. Additionally, this week\u2019s OPEC meeting will be a big deal for the USDCAD pair.<\/p><p>Speaking of the correlation with the Canadian dollar and oil prices, the Canadian economies reliance on oil during the ongoing rise in oil price has caused the recent outperformance in the Canadian dollar on the currency market. Oil prices do need to come down from current levels to support ongoing USDCAD strength.<\/p><p>A potential medium-term trend shift is underway in the greenback, following much-better US data points over recent weeks and rising bond yields. If this dynamic remains in play then further upside in the USDCAD pair is expected.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-5cba9d7 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"5cba9d7\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-c106b62\" data-id=\"c106b62\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-736543d elementor-widget elementor-widget-image\" data-id=\"736543d\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-image\">\n\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"301\" height=\"114\" src=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/03\/usdcad-chart.png\" class=\"attachment-large size-large wp-image-4425\" alt=\"\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ae21078 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ae21078\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-04045b0\" data-id=\"04045b0\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-aea5e00 elementor-widget elementor-widget-text-editor\" data-id=\"aea5e00\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>According to the Activtrader platform market sentiment indicator traders are overly bullish towards the recent rally. Traders have been on right side of the trade thus far. It will be interesting to see how sentiment holds up if the up move continues to gather pace.<\/p><p><strong>USDCAD Short-Term Technical Analysis<\/strong><\/p><p>The four-hour time frame shows that a bullish inverted head and shoulders pattern will be activated if USDCAD bulls can force a breakout above the 1.2740 resistance level.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-0752d50 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0752d50\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-72ea094\" data-id=\"72ea094\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ef23193 elementor-widget elementor-widget-image\" data-id=\"ef23193\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-image\">\n\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"624\" height=\"318\" src=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/03\/USDCAD-4H.png\" class=\"attachment-large size-large wp-image-4426\" alt=\"\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-01b0d52 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"01b0d52\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-1912206\" data-id=\"1912206\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ad89d56 elementor-widget elementor-widget-text-editor\" data-id=\"ad89d56\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>Source By ActivTrader.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-780c403 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"780c403\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e1db9ec\" data-id=\"e1db9ec\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-2bda5b6 elementor-widget elementor-widget-text-editor\" data-id=\"2bda5b6\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>According to the size of the pattern, the USDCAD pair could rally by around 250 points if a bullish breakout occurs, taking the USDCAD towards the 1.3000 resistance area.<\/p><p>Any pullbacks towards the 1.2600 support zone may be seen as major buying opportunity, in expectation of a major rally.<\/p><p><strong>USDCAD Medium-Term Technical Analysis<\/strong><\/p><p>Looking at the daily time chart, a breakout from a large falling wedge pattern will take place if bulls can anchor the USDCAD pair above the 1.2700 resistance level. The wedge has been in place since November last week.<\/p><p>Falling wedge patterns are typically considered to be amongst the most powerful bullish reversal patterns. In terms of upside targets, the 1.3000, 1.3400, and 1.3800 levels are the main bullish targets if the breakout comes to pass over the coming days and weeks.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-37941c9 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"37941c9\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e6dcca0\" data-id=\"e6dcca0\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-3edb55d elementor-widget elementor-widget-image\" data-id=\"3edb55d\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-image\">\n\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" width=\"624\" height=\"319\" src=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/03\/USDCAD-1D.png\" class=\"attachment-large size-large wp-image-4427\" alt=\"\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-5dc6c0b elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"5dc6c0b\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t\t<div class=\"elementor-row\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e0b3519\" data-id=\"e0b3519\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-column-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t<div class=\"elementor-widget-wrap\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-00dbd57 elementor-widget elementor-widget-text-editor\" data-id=\"00dbd57\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-text-editor elementor-clearfix\">\n\t\t\t\t<p>Source By ActivTrader.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>The US dollar is once again attempting to break higher against the Canadian dollar, after the pair dropped to its weakest trading level in over three-year last week, and then rebounded by around 250 points. A combination of US dollar strength and a downside correction in oil prices is currently creating bullish tailwinds for the [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":4423,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5,9],"tags":[64,172,40,31],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v17.6 (Yoast SEO v20.11) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>USDCAD Technical Analysis - Breakout expected above 1.2700 - Youtrading UK<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/youtrading.com\/en\/usdcad-technical-analysis-breakout-expected-above-1-2700\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"USDCAD Technical Analysis - Breakout expected above 1.2700\" \/>\n<meta property=\"og:description\" content=\"The US dollar is once again attempting to break higher against the Canadian dollar, after the pair dropped to its weakest trading level in over three-year last week, and then rebounded by around 250 points. A combination of US dollar strength and a downside correction in oil prices is currently creating bullish tailwinds for the [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/youtrading.com\/en\/usdcad-technical-analysis-breakout-expected-above-1-2700\/\" \/>\n<meta property=\"og:site_name\" content=\"Youtrading UK\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/YouTradingEnglish\/\" \/>\n<meta property=\"article:published_time\" content=\"2021-03-03T08:35:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-03-03T15:06:11+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/youtrading.com\/en\/wp-content\/uploads\/2021\/03\/GettyImages-1137545347.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"504\" \/>\n\t<meta property=\"og:image:height\" content=\"299\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Nathan Batchelor\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Nathan Batchelor\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/youtrading.com\/en\/usdcad-technical-analysis-breakout-expected-above-1-2700\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/youtrading.com\/en\/usdcad-technical-analysis-breakout-expected-above-1-2700\/\"},\"author\":{\"name\":\"Nathan Batchelor\",\"@id\":\"https:\/\/youtrading.com\/en\/#\/schema\/person\/88ce8e6688d6c690a83e6cbeee2eccab\"},\"headline\":\"USDCAD Technical Analysis &#8211; 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He holds a degree in Business and Finance and has an extensive background providing research for prop houses, and fund managers. 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