USDCAD moved to lowest level since March 1 this week.
The price of the USDCAD moved to the lowest level since March 1 this week. The lower USD on the back of the FOMC decision, and a run higher in the price of oil helped to strengthen the loonie. On Tuesday, CPI was stronger than expectations as well. Today, retail sales came in a little weaker than expectations, but prior month data was revised higher.
The move higher today is now testing the corrective high from yesterday at 1.32205. The swing low from June 10th is above that at 1.3238. The 38.2% is at 1.32578. Those are targets on more strength It will take a move above the 1.32205 first to get more upside momentum. So far, sellers are leaning against the level (with stops above?).
Drilling to the 5 minute chart below, the pair has stepped higher today with the first leg higher holding the 50% at 1.31787 (see lower yellow area). The 2nd leg higher has the 38.2-50% of the move up at 1.3199-1.32039. Stay above, that area on a correction, keeps the buyers more in control intraday. The 100 hour MA (blue line at 1.31932 is rising but lagging behind the running market. It too will be a barometer for bulls and bears intraday (but lagging).
Corrective buyers are making the play today.
