USD/CAD Technical Analysis: Greenback trading below 1.3100 ahead of Bank of Canada

• USD/CAD is trading in a bull trend above the 200-period simple moving average ahead of the Bank of Canada rate hike decision. The BOC is expected to raise the target rate by 25 basis points to 1.75% this Wednesday.
• The 1.3100 resistance has been acting as resistance for four consecutive days as the RSI, MACD and Stochastic indicator are losing bullish momentum.
• Failure to close above 1.3100 on a daily closing basis can lead to a correction down to 1.3048 August 14 low.

USD/CAD 4-hour chart

Spot rate:                   1.3089
Relative change:        0.03%  
High:                          1.3101
Low:                           1.3069

Main trend:                Bullish  

Resistance 1:            1.3108, September 7 low
Resistance 2:            1.3150 figure
Resistance 3:            1.3200 figure

Support 1:                 1.3083 September 27 swing high
Support 2:                 1.3048 August 14 low
Support 3:                 1.3000 figure
Support 4:                 1.2950-59 multi-month key level and August 7 low