The USDCAD traded toward the highs from Mondays trading at 1.2755, but fell just short of that level at 1.27527.(and other swing levels near 1.2748).
The price has moved back to the downside on the inability to move above those levels. That move took the price below a swing area between 1.2712 and 1.2725, and down to test the converged 100/200 hour MAs at 1.2695. Support/risk defining buyers leaned and the price has ticked higher. The pair currently trades at 1.2707.
What now?
The holding of the 100/200 hour MAs keeps the price on the bullish side of the price bias. The pair has been in an up and down trading range with the low at 1.26496 and the high at 1.2787 to 1.27958.
Yesterday, the sellers had their shot below the lower extreme, but that move failed after a couple hours of trading. The Bullard comments helped to shut the door on that idea.
Now with the price back above the 100/200 hour MAs, that will act as the barometer for buyers and sellers. Stay above is more bullish. Move below is more bearish.
Getting above 1.2725 would give the buyers more confidence and could see added buying interest on a break.today.
Of course moving below the dual MAs would likely turn buyers into sellers and shift the focus back to the downside.
