USD/CAD - USD/CAD Profit Booked at 1.3310! - 10/24/2016 (GMT)

The USD/CAD pair surged more than 1.5% since last week and recorded a fresh 7-month high. The pair created the fourth green day in a row and challenged the 1.3360 resistance level. Also, the price surpassed our second target at 1.3310 with suggested entry level at 1.3160 price level (see our technical analysis here: http://bit.ly/2eeHX6F).

Over the last six months, the price is moving in a sideways rising channel and failed to break it on either side several times. The commodity pair hit the return line of the channel and our expectation is a retest of the 1.3310 support level or moreover the 1.3200 psychological level. Otherwise, a penetration of the aforementioned obstacle will open the door for the 1.3415 resistance level. On the daily chart, the RSI indicator is flattening below the 70 level, whilst going to a lower timeframe, the technical indicator is sloping downwards as it is moving in an overbought area.