USD/CAD Daily Outlook

Daily Pivots: (S1) 1.1500; (P) 1.1568; (R1) 1.1613; More.

With 4 hours MACD crossed before signal line, an intraday top should be in place at 1.1636 and some pull back could now be seen to 1.1418 minor support and below. Nevertheless, downside should be contained by 1.1226 support and bring another rise to test 1.1814 resistance. Break will target next key cluster resistance at 1.2191. However, note that break of 1.1226 support will argue that whole rebound from 1.0784 has completed and will flip bias back to the downside for retesting this low.

In the bigger picture, fall from 1.3063 is treated as correction to impulsive rally from 0.9056 to 1.3063 and has met target support zone of 1.0297/0819 already. We're slightly favoring the case that such correction has completed at 1.0754 already. Break of mentioned 1.1475/1.1814 resistance zone will confirm this case and should at least bring strong rally to key cluster resistance at 1.2191 (61.8% retracement of 1.3063 to 1.7084 at 1.2192). Nevertheless, a break below 1.0784 will indicate that fall from 1.3063 is still in progress, probably to 61.8% retracement of 0.9056 to 1.3063 at 1.0587 before completion.

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