Pair approaches the 50% midpoint of the move down from September 20 high
The USDCAD is trading at the highest level since October 7. The pair just hit a high price of 1.25865 . That is getting closer to the 50% midpoint of the move down from the September 20 high at 1.25923.
The trend move to the upside today has seen the price move above a topside channel trendline and 100 day moving average both near the 1.2537 level. That level will now be a key support going forward. Stay above is more bullish. Move below and there could be more disappointment on the failed break.
Getting above the 50% retracement level would be the next key bullish signal.
Drilling to the 5 minute chart below, the price (apart from three 5-minute bars) has stayed above its 100 bar moving average since breaking above yesterday morning. The trailing 100 bar moving average currently comes in at 1.25467 (and moving higher). The 38.2% – 50% retracement area of the last trend move higher comes in between 1.2545 and 1.2555. A move below that area would be needed to slow the trend move. Absent that, and the buyers remain in firm control and so does the trend.
