Daily Pivots: (S1) 1.2371; (P) 1.2432; (R1) 1.2463; More….
USD/CAD’s decline continued and hit as low as 1.2376 so far. 61.8% projection of 1.3389 to 1.2588 from 1.2880 at 1.2385 is already met and there is no sign of bottoming yet. Intraday bias stays on the downside first. Sustained break of 1.2385 will page the way to 100% projection at 1.2079. On the upside, above 1.2493 minor resistance will turn intraday bias neutral and bring consolidations. But outlook will remain bearish as long as 1.2742 resistance holds.
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 1.2994 support turned resistance resistance is needed to indicate medium term bottoming. Otherwise, outlook will remain bearish in case of strong rebound.
