Daily Pivots: (S1) 1.2414; (P) 1.2445; (R1) 1.2494; More….
A temporary low is formed at 1.2354 after USD/CAD hit 61.8% retracement of 1.2061 to 1.2919 at 1.2389. Intraday bias is turned neutral first for consolidations. As long as 1.2623 support turned resistance holds, deeper decline is expected. Break of 1.2354 will extend the fall from 1.2910 to retest 1.2061 low.
In the bigger picture, current development argues that rebound from 1.2061 has completed at 1.2919, rejected by 55 week EMA (now at 1.2850) and kept below 38.2% retracement of 1.4689 to 1.2061 at 1.3065. The development also suggests that long term fall from 1.4689 is not completed yet. Decisive break of 1.2061 low will target 61.8% retracement of 0.9406 to 1.4689 at 1.1424. This will now be the favored case as long as 1.2919 resistance holds.
