Tests lower trend line
The price of the USDCAD has been trending lower over the 7 hours of trading (6 hourly bars lower) after a run above the 100/200 hour MAs failed (see blue and green lines). The failure turned buyers and sellers, subsequently, the pair has now moved below a swing area between 1.25408 and 1.25474 (and the 38.2%). That area (see red numbered circles) was broken on Friday but ran into trendline support (see blue numbered circle 3).
The fall has traders now targeting that lower trendline which currently comes in at 1.2518. The price just tested that line again and is finding some buying support after the sharp fall from the highs. There may be some cause for pause against the line, with stops on a break.
On a break, the 50% of the move up from the March 17 low comes in at 1.25054. A move below it, would add to the bearish bias.
