USD/CAD Daily Outlook

Daily Pivots: (S1) 1.0003; (P) 1.0048; (R1) 1.0097; More.

Outlook in USD/CAD remains unchanged. As long as 1.0161 cluster resistance holds, further downside is still in favor. Break of 0.9987 support will encourage further decline towards lower side of established range near to 0.9709. Meanwhile, above 1.0161 will argues that price actions from 1.0326 is probably just correction to the rally from 0.9709 and should have completed. In other words, further upside should then be seen to 1.0326 resistance and above in such case.

In the bigger picture, the corrective nature of the fall from 1.0378 indicates that it's merely a correction, or part of consolidation, to whole rise from 0.9056. Failure below 1.0378 resistance suggests that such medium term rebound is not ready to resume yet. More choppy sideway trading could now be seen between 0.9709 and 1.0378. But still, further rally is in favor as long as 0.9709 support holds. Above 1.0378 will confirm whole rise from 0.9056 has resumed to 61.8% projection of 0.9056 to 1.0378 from 0.9709 at 1.0526 or higher. Though break of 0.9709 will indicate that the correction from 0.9056 could have completed and short term bias will then be turned back to the downside for retesting this low.

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