Source: PaxForex Premium Analytics Portal, Technical Insight
The next Bank of Canada interest rate announcement is Jan. 25 and derivatives markets are pricing in a better-than-even chance the bank will hike another 25 basis points. That would take the prime rate up to 6.7 percent, its highest level in more than two decades.
NZD/CAD,D1
Pivot: 0.8571
Analysis:
As long as the price is above 0.8550 follow the recommendations below:
- Time frame: D1
- Recommendation: long position
- Entry point: 0.8571
- Take Profit 1: 0.8730
- Take Profit 2: 0.8800
Alternative scenario:
If the level of 0.8550 is broken-down, follow the recommendations below:
- Time frame: D1
- Recommendation: short position
- Entry point: 0.8550
- Take profit 1: 0.8430
- Take profit 2: 0.8350
Comment:
RSI shows an uptrend in the medium term.
Key levels:
| Resistance | Support |
| 0.8900 | 0.8550 |
| 0.8800 | 0.8430 |
| 0.8730 | 0.8350 |
