Below the 100/200 hour MAs and above the 38.2% and swing area

The USDCAD moved lower (higher CAD) after the much better than expected jobs report. However support near the 38.2% retracement of the move up from the March 18 low and a a swing area between 1.28408 and 1.28474 stalled the fall on the first dip. The low reached 1.25406 and bounced.

The events took the price back toward the 100 and 200 hour moving averages. They are at 1.2573 and  1.25768. The high price on the balance has reached 1.25625 – still comfortably below those moving average levels. It would take a move back above the 100 and 200 hour moving averages to tilt a bias back to the upside.

Looking at the hourly chart, the USDCAD has been trading up and down. Most of the activity has been between that 38.2% retracement level at 1.25387 and 1.2628 area. There is also into resistance near 1.26072 (see green numbered circles where swing highs have occurred. On Monday, the price dipped below the 38.2% retracement level but stalled near the 50% level at 1.25054. That would be a target area if the 38.2% retracement level is broken.
Invest in yourself. See our forex education hub.



Source link

×