The USDCAD continued to trade within a predictable range on Tuesday, with the latest dip below 1.2100 signaling a buy opportunity.
The USDCAD bottomed out at 1.2025 on Tuesday after climbing to a high of 1.2140 on Monday. The pair subsequently consolidated at 1.2048 in Tuesday’s New York session, down 0.4 percent. The 1.2170 is a key level for the pair, as it signals fair market value, according to TD Securities. Initial resistance is located at 1.2061. A break below that level would lead to 1.2018, the closing rate from April 30. On the upside, initial resistance is likely found at 1.2145.