Takes out Friday's low
The USDCAD traded to a new low going back to June 29, 2016. That low came in at 1.2339.
Today, a new lower low to June 29th was reached when the price traded below the Friday low to 1.2335. The problem with today's new low is it was only 4 extra pips below Friday's low. Momentum could no be sustained and the price has now rebounded. The price currently trades at 1.2375.
Looking at the hour chart, the price low stalled near an older lower trend line. That trend line was broken on Friday during the US employment volatility, but rebounded.
Drilling to the 5-minute chart, the pair has rebounded about 50% of the range today and to the 100 bar MA (blue line in the chart below at 1.2374-76 area. A move above that will open the door for more upside (we are getting that break as I type). The 200 bar MA (green line on the chart below) at 1.2387 is the next target.
