Takes out the high from yesterday
The USDCAD is taking out the high from yesterday and trades at new session highs. The Canada HPI index showed that prices declined in October, but the existing home sales showed higher prices and an increase of 0.9% in sales. Oil prices are lower again today (down about -0.83%). That may be helping to weaken the loonie. Also a move out of risk?
Technically, the USDCAD moved above its 100 hour MA (blue line in the chart above) on Monday. Yesterday, the price dipped below that MA briefly and then based and ran higher. Today, the MA was approached during the London morning session. It also approached a lower trend line. Holding above both the trend line and the 100 hour MA, and moving back above the 200 hour MA (green line), seemed to encourage the buyers.
We now look toward the 50% midpoint of the move down from the October 31 high. That comes in at 1.17898. Above that and the 61.8% and swing high from Nov 7th will be targeted at 1.20192.
