The USDCAD moved to a new low going back to November in trading today taking out the low from last week at 1.32986. The low extended to 1.3288, which also moved briefly below a upward sloping trendline on the daily chart (see chart above). That trend line cuts across at 1.3290. Buyers have been skimming along that line at the two separate lows today (the recent North American low reached 1.32913).
There is also a swing area between 1.3339 and 1.3358 (see red numbered circles on the chart below). That swing area is near the moving averages and add to the areas importance through the FOMC rate decision. Move above, and the bias in the short term shifts to more upside for the pair once again. The 50% of the move down from the January 19 high at 1.34039 would be the next upside target on a further move higher.
SUMMARY. Support held on the daily chart today near 1.3290 trend line. A move below opens the door for more downside momentum.
The inability to extend below that level, keeps the buyers in play. However, they will need to get back above the 100 and 200 hour