Daily Pivots: (S1) 1.2602; (P) 1.2625; (R1) 1.2659; More….
USD/CAD recovered again after hitting 1.2588 and intraday bias is turned neutral, with 4 hour MACD back above signal line too. Some consolidations could be seen but outlook stays bearish with 1.2798 resistance intact. Break of 1.2588 will resume larger down trend from 1.4667. Next target is 61.8% projection of 1.4667 to 1.2994 from 1.3389 at 1.2355.
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.
