Daily Pivots: (S1) 1.3412; (P) 1.3474; (R1) 1.3524; More….
Intraday bias in USD/CAD remains on the downside at this point. Rebound from 1.3315 should have completed and deeper decline should be seen this retest this support. Break will resume whole fall from 1.4667 to 1.3056 long term retracement level. On the upside, break of 1.3646 resistance is needed to confirm short term bottoming. Otherwise, risk will stay on the downside in case of recovery.
In the bigger picture, the rise from 1.2061 (2017 low) could have completed at 1.4667 after failing 1.4689 (2016 high). Fall from 1.4667 could be the third leg of the corrective pattern from 1.4689. Deeper fall is expected to 61.8% retracement of 1.2061 to 1.4667 at 1.3056 and possibly below. This will now remain the favored case as long as 1.3855 support turned resistance holds. However, sustained break of 1.3855 will turn focus back to 1.4689 key resistance.
