100 hour and 100 day MAs in play along with a trend line
The USDCAD has moved lower today after the earlier day run higher could not sustain momentum above the 200 day MA (at 1.3302). A topside trend line also helped to stall the rally today.
The steps lower from the high today has now taken the price down to a trio of support defined by the:
- 100 day moving average of 1.32633
- 100 hour moving average of 1.32579
- trendline support at 1.32549
The low today reach 1.32557. We currently traded 1.3264.
The correction off of the low price today stalled around a swing high from yesterday at 1.32705. That helps to keep the sellers more in control. That level was also a swing high from September 16.
Sellers are more in control. The question for this pair of late is "Can the dominant trend stay the dominant trend?"
There have been a number of moves higher and lower that has seen sharp reversals the other way.
So watch the is 1.3271 area as a close bias barometer. A move above should disappoint the sellers looking for more downside.
On a break of the trio support, should solicit more momentum selling with 1.3242, 1.32326, and the 50% retracement of 1.32213 and 200 hour moving average of 1.32175 as downside targets.