USD/CAD may rise 25 - 36 pips

Our pivot point is at 1.3701.

Our preference

The upside prevails as long as 1.3701 is support.

Alternative scenario

The downside breakout of 1.3701 would call for 1.3682 and 1.3671.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 1.3688 and 1.3678).

Supports and resistances

1.3786 **

1.3774 *

1.3763 **

1.3752

1.3727 last

1.3709

1.3701 **

1.3682 *

1.3671 **

Number of asterisks represents the strength of support and resistance levels.