Daily Pivots: (S1) 1.2784; (P) 1.2833; (R1) 1.2878; More….
USD/CAD’s rebound from 1.2588 short term bottom is still in progress and intraday bias stays on the upside for 1.2957/94 resistance zone next. Decisive break there will argue that it’s correcting whole down trend from 1.4667. Further rise would be seen to 1.3389 cluster resistance (38.2% retracement of 1.4667 to 1.2588 at 1.3382). On the downside, break of 1.2684 minor support will argue that the rebound has completed and bring retest of 1.2588 low.
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.
