Daily Pivots: (S1) 1.2612; (P) 1.2679; (R1) 1.2715; More….
Intraday bias in USD/CAD remains on the downside for the moment. Current decline is expected to target a test on 1.2460 low. On the upside, above 1.2770 minor resistance will turn bias neutral and bring consolidation before staging another decline.
In the bigger picture, price actions from 1.4689 medium term top are seen as a correction pattern. Fall from 1.3793 is seen as the third leg and should target 50% retracement of 0.9406 to 1.4869 at 1.2048. At this point, we’d look for strong support from there to contain downside and bring rebound. However, firm break there will target 100% projection of 1.4689 to 1.2460 from 1.3793 at 1.1564.
