USD/CAD could head higher towards December peak of 1.3620 on a break past 1.3540 – SocGen

USD/CAD is heading towards 1.3540. Economists at Société Général analyze the pair’s technical outlook. 

Key support located at 1.3350

USD/CAD is attempting a break above the trend line drawn since last November denoting regain of upward momentum. This is also highlighted by daily MACD which has entered positive territory.

A retest of 1.3540, the 50% retracement from November is likely. If this is overcome, USD/CAD could head higher towards December peak of 1.3620 and 1.3730.

Recent pivot low at 1.3350 is key support.