USDCAD ran but it was a sprinter...not a miler
Can the 200 day MA keep the bullish race alive
The USDCAD broke above a trend line and then the 100 hour MA for the first times since Jan 25 (see earlier post). The bullish gun went off and the race was on.
The price moved from the 100 hour MA at 1.31277 to a high of 1.3153 - just above the 38.2%. However, the runner seems to be a sprinterm and not a distance miler, as the market tired and the price is back down testing the 100 hour MA (and getting closer to the 200 day MA at 1.31267 and 1.31195 respectively). Moves below will sour the buyers mood on the failed break.
The question is will the race continue with another lap higher now? If so, this area needs to hold with momentum starting again toward the 38.2% and the swing highs from last week (at 1.31569 and 1.31646). We will see if there is any more gas in the buyers tanks.