USD/CAD Mid-Day Outlook

Daily Pivots: (S1) 1.0086; (P) 1.0161; (R1) 1.0262; More.

USD/CAD's retreat from 1.0242 extends further today and break of 1.0146 minor support indicates that an intraday top is in place and turns outlook neutral for the moment. Consolidation from 1.0326 could still be in progress and more choppy sideway trading could be seen before breaking out. Though, on the upside, above 1.0242 resistance will revive that case the consolidation has completed and bring retest of 1.0326 first and the 1.0378.

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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