27 pip trading range for the loonie
The USDCAD as traded to a new session high for the day, but even so the range is only 27 pips from the low to high. That is well below the 69 PIP average over the last 22 trading days. There is room to roam in this pair.
The up and down choppy session today as seen the price trade above and below its 100 and 200 hour moving averages (blue and green lines). They come in at 1.20809 and 1.20749 respectively. The 50% midpoint of the range since May 20 is also near the 200 hour moving average of 1.20749. The price over the last two hours has been finding more support buying near the 100 hour moving average (blue line). That is as tilt of the bias more in the direction of the buyers.
For intraday traders, staying above 1.2088 to 1.20918 would be a risk area to stay above to give the buyers more confidence that the upside is the preferred bias direction. On the topside getting above the high from yesterday near 1.2106 would also open the door for further upside potential.
The range for the day is just too narrow. There are bullish overtures above the 100 hour moving average and above the 1.2088 – 91 level. However, the move higher will require shaking the market out of this low volatility/range trading seen today. There is room to roam.