Looks toward the 50% of the move down from the December/2018 high.
The USDCAD has continued its move higher today. Today would be the 4th day higher. Friday saw the biggest move after GDP data was weaker than expectations.
The move higher has the pair looking to test the 50% of the move down from the December/2018 high. That level comes in at 1.33658 and is the next upside target for the bulls. It is also near the January 24th swing high at 1.3374.
Drilling to the hourly chart, the pair is trading in a channel since the sharp rise on Friday. The topside trend line currently comes in at 1.33753 - near the swing high from January 24 on the daily at 1.3374. More momentum may find profit taking near that topside trend line.
ON the downside, the lower trend line cuts across at 1.3332 (and moving higher). That trend line is a close bias/risk level. Move below, and some of the buying momentum may begin to fade (profit taking).
Be aware of the channel guardrails. They often give traders the next clues for swing levels and end of trends. For now the bulls are more in control.
