The USDCAD has banged against the 100 hour moving average on 3 separate occasions during today's trading. In the Asian session, the high price stalled against the moving average. In the European morning session, the price stalled against the 100 hour moving average. And most recently, the current hourly bar stalled against its 100 hour moving average. PS the 50% midpoint of the move up from the August low is also just above the 100 hour moving average at 1.28753.
So there been a 3 knocks on the 100 hour moving average door, and each time no one answered.
That does not mean that the door won't be answered. If the price should move above that moving average, I would look for more upside momentum.
On the downside, the 200 hour moving average (green line in the chart above) has been a broken on 2 separate occasions. The last in the London session showed some downside momentum, but that was quickly reversed the next hourly bar after falling short of the low from yesterday at 1.28377. The low today reached 1.28424.
So the top and bottom side levels are defined. Get above the 100 hour moving average – and stay above - is more bullish. Move below the 200 hour moving average – and stay below – is more bearish.
