Daily Pivots: (S1) 1.3210; (P) 1.3255; (R1) 1.3327; More….
USD/CAD’s recovery form 1.3091 short term bottom extends higher today, but stays below 1.3386 resistance. Intraday bias remains neutral and further decline is still mildly in favor. Below 1.3150 support should resume larger decline through 1.3091 low. Nevertheless, on the upside, firm break of 1.3386 will indicate near term reversal and turn outlook bullish.
In the bigger picture, price actions from 1.3976 are viewed as a correction to up trend from 1.2005 (2021 low) only. But even so, deeper decline is expected as long as 1.3386 resistance holds. Further fall could be seen to 61.8% retracement of 1.2005 to 1.3976 at 1.2758. Meanwhile, break of 1.3386 will be a sign that the correction has completed and bring stronger rally back to retest 1.3976.
