Daily Pivots: (S1) 1.3328; (P) 1.3359; (R1) 1.3417; More…
USD/CAD’s break of 1.3426 minor resistance suggests short term bottoming at 1.3298, ahead of 1.3224 key support as expected. Intraday bias is back on the upside of 1.3519 resistance first. Further break there will affirm the case that correction from 1.3074 has completed too. Further rally should then be seen through 1.3074 to resume the rise from 1.3224. This will now remain the favored case as long as 1.3298 holds.
In the bigger picture, as long as 1.3222 cluster support (38.2% retracement of 1.2005 to 1.3976 at 1.3223) holds, larger up trend from 1.2005 (2021 low) is still expected to resume through 1.3976 high at a later stage. However, firm break of 1.3222/3 will indicate that the trend might have reversed. Deeper fall would be seen to next cluster support at 1.2726 (61.8% retracement at 1.2758).
