USDCAD looks toward 50% midpoint
The USDCAD is trading to a new day low at 1.3862 and in the process, has fallen below the swing low from end of March and April at 1.3920 and 1.3930 repectively (see red numbered circles on the daily chart below). The next key target off the daily chart is the 50% retracement of the move 2020 trading range at 1.38131. The price trades at the lowest level since March 17.
Drilling to the hourly chart below, the pair fell below a swing area at the 1.3920-30 area (the swing low from the daily) and more recently below a lower trend line at 1.3885. That lower trend line is now the closest risk for intraday traders.
Stay below keeps the bears firmly in control. Move above, and the sellers below the lower trend line, should look to cover on the failed break, and look back toward the 1.3920-30 area.
