Trade of the Day: USD/CAD

USD/CAD continues to rise inside the hourly Up Channel chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Up Channel at the 8-bar level – which is the result of the strong Initial Trend (10 bars), above-average Uniformity (6 bars) and strong Clarity (8 bars). USD/CAD is expected to rise further inside this Up Channel.

As can be seen from the daily USD/CAD chart below – the pair earlier reversed up from the support zone located between the powerful support level 1.3295 (which has been reversing the pair from November) and the lower daily Bollinger Band. The proximity of this support zone and the bullish divergence on the daily Stochastic increase the probability USD/CAD will continue to rise inside this Up Channel.