Moves toward lower trend line (well it is moving that way)
The USDCAD raced up to a topside trend just before Yellens comments. The trend line stalled the rally and the price rotated lower. In fact the lows near 1.2500 were taken out, and the price has pushed to a session low at 1.2483. The pair currently trades at 1.2494.
Looking at the hourly chart above, if the price can stay more on the lower side of 1.2500-1.25045 (the 1.2504 is the 38.2% of the days range. The 1.25017 was the prior low), that would keep the sellers more in control.
On a move lower, the lower trend line at 1.2471 currently (and moving lower) will be eyed. Below that level and the lows from the end of July and early August (the low for the month comes in at 1.2450) will be eyed.
