Daily Pivots: (S1) 1.2659; (P) 1.2711; (R1) 1.2745; More….
USD/CAD’s break of 1.2659 suggests resumption of fall from 1.2880. Intraday bias is back on the downside for retesting 1.2588 low. Decisive break there will resume larger down trend from 1.4667. On the upside, though, break of 1.2762 will extend the consolidation pattern from 1.2588 with another rise.
In the bigger picture, fall from 1.4667 is seen as the third leg of the corrective pattern from 1.4689 (2016 high). Further decline should be seen back to 1.2061 (2017 low). In any case, break of 1.3389 resistance is needed to indicate medium term bottoming. Otherwise, outlook will remain bearish in case of rebound.
