The USDCADs move higher has seen the pair move up to test the 200 day MA at 1.2619. The high price just reached 1.26183 and backed off modestly. The current price is at 1.2605. Risk could be defined and limited and sellers leaned.
Yesterday, the price extended toward the level but found early sellers as well and pushed lower into the close.
Looking at the hourly chart below, the move to the upside has taken the price above the 38.2% retracement of the move down from the March high. That level comes in at 1.25923. The retracement level is now close risk for intraday longs/buyers. The level also corresponds with a swing high from March 28.
A move back below that level – after breaking higher – could see the buyers turn to sellers into the weekend.
It’s Friday and holding the 200 day moving average and falling back below the 38.2% retracement/swing high level would disappoint the buyers a bit.