Daily Pivots: (S1) 1.3386; (P) 1.3462; (R1) 1.3511; More….
USD/CAD’s fall from 1.3860 is in progress and intraday bias remains on the downside. This decline is seen as the third leg of the corrective pattern from 1.3976. Deeper fall would be seen to 1.3224/61 support zone. But strong support should be seen around there to bring rebound. Still, break of 1.3563 resistance is needed to indicate completion of the decline first. Or further fall will remain in favor in case of recovery.
In the bigger picture, the up trend from 1.2005 (2021 low) is still in progress. Break of 1.3976 will confirm resumption and target 61.8% projection of 1.2401 to 1.3976 from 1.3261 at 1.4234. Firm break there will pave the way to long term resistance zone at 1.4667/89 (2016, 2020 highs). On the downside, sustained break of 55 week EMA (now at 1.3282) is needed to confirm medium term topping. Otherwise, outlook will remain bullish even in case of deep pull back.
