Daily Pivots: (S1) 1.2531; (P) 1.2557; (R1) 1.2603; More…
USD/CAD’s break of 1.2605 resistance indicates that pull back from 1.2805 has completed at 1.2421. Intraday bias is turned back to the upside for retesting 1.2805 resistance. Break there will resume whole rise from 1.2005 for 1.3022 fibonacci level next. On the downside, break of 1.2488 minor support will turn bias back to the downside for 1.2421 support and below.
In the bigger picture, fall from 1.4667 is seen as the third leg of the corrective pattern from 1.4689 (2016 high). It should have completed after hitting 1.2061 (2017 low) and 50% retracement of 0.9406 to 1.4689 at 1.2048. Sustained break of 38.2% retracement of 1.4667 to 1.2005 at 1.3022 will pave the way to 61.8% retracement at 1.3650 and above. Overall, medium term outlook remains neutral at worst with 1.2048/61 support zone intact.
