Getting back above the 100 hour MA and trend line, increases the bullish bias
The USDCAD moved to the lowest level since the end of January 2018 yesterday after the FOMC decision. In doing so, the price fell below a swing area between 1.24344 and 1.2440. The break sent the price below the below a lower trend line on the hourly chart twice today with each break failing.
The pair moved higher with the USD buying today and has now broken back above the aforementioned swing area. Stay above 1.24344 now would keep the buyers in control in the short term as traders focus on the failed break.
Confidence will be increased on a break of the 100 hour moving average 1.24582 and the downward sloping trendline currently at 1.2463. Get above each what next target the high from yesterday near 1.2490.
Sellers had their shot and they made a push, but failed on the break below the lower trend line.
Now with the move back above the swing area, it puts the ball in the buyers court. It is their shot now to take the price higher.
