Pair has been building more momentum, but coming off highs.
The USDCAD moved to the highest level since July 14, reaching a high price of 1.2714. The move higher has been helped by lower oil and better technicals as well.
Oil prices are down about -$0.30 or -0.67% on the day at $49.24. Although lower it is off the low of $48.78 and that has helped to slow the USDCADs move higher a bit. We are currently trading at 1.2679.
Technically, the pair was finally able to move and stay above the 200 hour MA last week (green line). On Friday, the pair stayed above the rising 100 hour MA (blue line), and the US employment report kicked the pair higher.
The high price from Friday reached 1.2667. The new high reached today has stalled ahead of the 1.2720 lows from July 12/13 (before breaking lower). That is the next target. Above that , the 1.27699 level is the 38.2% of the move down from the June 21 swing high (last trend move lower). That would be a key level as it also corresponds with the swing highs from July 12/13.
What about support?
The high from Friday reached 1.2667. That is close risk. Below that, the 200 bar MA on the 5-minute chart cuts across at 1.2657 currently. A move back below that level intraday, muddies the water.....
