Yesterday, the USDCAD made a move outside of a "red box" that has confined up and down price action in the pair since January 27. The high of that up and down red box range was at 1.27956.
The strong dollar buying yesterday saw the price of the USDCAD extend all the way up to 1.28768 before stalling.
The subsequent move back to the downside saw the pair move back into the red box area in early trading today but momentum lower stalled near the 100 hour MA.
After another run higher and try outside the red box area in the European session, the sellers have started to take more control. The last corrective high in the NA session stalled right near the high of the swing area, and that has led to a run to a new session low.
In the process back to the downside, the pair is back below the 100 hour MA at 1.27636. The 200 hour MA at 1.27375 is the next target to get to and through and give the pair more of a bearish bias.
Close risk is now the 100 hour MA. Stay below, and the sellers continue to hold the strongest hand.
Buyers had their shot outside the "red box". They failed not once but twice. Seller are back in the drivers seat.