Daily Pivots: (S1) 1.3847; (P) 1.3883; (R1) 1.3905; More…
USD/CAD’s retreat from 1.3927 extends lower, but stays above 1.3789 support. Intraday bias remains neutral first, and further rally is still in favor. ON the upside, Above 1.3927 will target 1.4139 first. Break there will target 100% projection of 1.3538 to 1.4139 from 1.3641 at 1.4242, as the third leg of the corrective pattern from 1.3538. However, firm break of 1.3789 will bring deeper fall back to 1.3641 support instead.
In the bigger picture, price actions from 1.4791 are seen as a corrective pattern to the whole up trend from 1.2005 (2021 low). Deeper fall could be seen as the pattern extends, and break of 1.3538 will target 61.8% retracement of 1.2005 to 1.4791 at 1.3069. For now, medium term outlook will be neutral until there are signs that the correction has completed.
