Traded to the lowest level since October on Tuesday
The price of the USDCAD ended 2019 by making new lows for the year (and trading at the lowest level since October 2018. The high for the year was on the first trading day of 2019 (January 2, 2019). So it was a unique situation for the pair (although much of the price action was up and down).
The run lower on Friday, took out the earlier low for the year from July at 1.30151. The low reached to 1.29508. The price action today had a low above the Friday low at 1.29682. The high was below the low from July at 1.3015. The high today reached 1.30075. We are currently trading mid-range between those levels at 1.29874.
Drilling to the hourly chart below, in addition to the 1.30151 old low, the highs today have found sellers against a topside trend line (currently at 1.29977). That keeps the sellers more in control.
In addition to the trend line resistancae, the rally is relatively minor and the the price remains below the earlier lows at 1.30151. Bears are more in control below those levels.
On the downside, a break below the low from Friday will have traders probing lower. Longer term the 50% midpoint of the move up from the 2017 low to the 2018 high comes in at 1.28625. That would be a target on more selling momentum (not shown).
