Daily Pivots: (S1) 1.3507; (P) 1.3554; (R1) 1.3581; More….
USD/CAD’s breach of 1.3490 support suggests that rebound from 1.3315 could hac completed already. Intraday bias is turned back to the downside for retesting 1.3315 low. On the upside, break of 1.3646 resistance will invalidate this view and extend the rebound from 1.3315 to 38.2% retracement of 1.4667 to 1.3315 at 1.3831.
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 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.
