USDCAD eyes the 2019 low at 1.30151.
The USDCAD took out the lows from last week (and lowest low since July 22) earlier today and is back down retesting that new low at 1.30488. The low just reached 1.3049. Last week's low reached 1.30524.
The good news for the bears/sellers is that new lows are being made. The not so great news is the price is so far not running lower. We only have a new low by 4 pips. Traders will need to see some more downside momentum for more downside confidence. The risk is that sellers give up if they don't see more selling soon.
So the pair sits on the fence and the battle goes on.
Helping the bears is that the 100 hour MA remains an upside resistance level that has not been breached since October 10. That is a long time. It will take a move above the 100 hour moving average at 1.30775, to turn the bias more to the upside (that is the minimum).
Not so bearish, is last week a downward sloping trendline was broken. Admittedly, it was more of a sideways break (the market just consolidated vs run higher) but it is a potential signal that downside momentum is fading a bit.
If the price goes lower, the 2019 low comes in at 1.30151 from July 22. That was the lowest level since October 2018 (see daily chart below).
