Back above swing area between 1.2623 and 1.26294
The USDCAD has moved to a new session high after new lows going back to April 2018 ran out of momentum.
Looking at the hourly chart, the low price today got within 5 pips of a lower trendline connecting January 8 and January 14 lows. That level came in at 1.2582. The low price for the day reach 1.25872 and bounced back quickly.
The price rise has now retraced back above a swing area between 1.2623 and 1.26294. The current price is trading at 1.26424. Stay above 1.2623 (was the low from last week's trading) and the buyers can feel more comfortable that a low MAY be in place. Move below and that confidence fades.
On the topside, there is a another swing area between 1.2655 and 1.2664. The 38.2% retracement of the move down from the high this week comes in at 1.26679. Getting above each is the minimum if the buyers are to take back more control.
