The USDCAD is trading up and down today after yesterday’s move to new cycle lows down to 1.2400 level, followed by a sharp rebound that erased the declines.
The pair is modestly higher today but is running into trend line and swing area resistance near 1.2504 to 1.2508. A move above that resistance area is needed to kickstart more upside momentum. The high from last Friday reached 1.2539 and would be the next upside target area.
Stay below that area, and then move back below the 200/100 hour MAs (and stay below) between 1.24916 to 1.24964 would increase the selling momentum.
For what is worth Ivey PMI came in stronger at 74.2 above estimate of 68.4. The index tends to swing violently however.
UPDATE: USDCAD breaks higher. Buyers making more of a play. Leaves resistance levels behind. Those levels are now support.
