The tumble from yesterday bottomed ahead of last week's lows
The USDCAD tumbled lower yesterday and in the process completed the lap from last Friday's employment run higher. Recall on Friday,the Canada employment data was weaker while the US data was stronger and that sent the USDCAD soaring to the upside. The last 3 days has seen a deterioration and those gains eroded.
Today however after the price could not get to last week's low price at 1.31579. Sellers turned buyers against the level and the last few hours have seen the price extended to the upside.
We currently trade at new session highs at 1.31903. That is near the 38.2% retracement of the move down from yesterday's high. A move above that level would next targeted 1.3200 level - a key natural resistance level as well. A move above would give the buyers a little more confidence that the bottom is in place.
