Approaches a cluster of 1.32675 - 1.32739 area
The BOC Wilkins comments have sent the USDCAD sharply higher. What are the technicals telling traders.
Looking at the hourly chart above, the pair moved above its 100 hour moving average before the release of the headlines, and took off from that level.
Earlier in the day, at the lows, there were two looks below its 100 day moving average at the 1.32005 level. Each failed. That helped to give the buyers a reason to buy.
What now?
The next upside target is being approached at the 1.32675 to 1.32739 area. Within those extremes are the swing highs going back to November 13 and November 14, the underside of a broken trend line and the 200 day moving average at 1.32739.
That cluster of resistance should give traders level to lean against on a test, but would expect stops on a break above.
