Daily Pivots: (S1) 1.3829; (P) 1.3916; (R1) 1.3975; More….
USD/CAD’s break of 1.3920 suggests that correction from 1.4667 has resumed. Intraday bias is turned to the downside for 61.8% retracement of 1.3202 to 1.4667 at 1.3762. We’d expect strong support from there to bring rebound. On the upside, above 1.4081 minor resistance will turn bias back to the upside for 1.4349 resistance first. However, sustained break of 1.3762 will bring deeper fall to 1.3202/3329 support zone.
In the bigger picture, rise from 1.2061 is likely resuming whole up trend from 0.9056 (2007 low). Decisive break of 1.4689 will confirm this bullish case. Next medium term target is 161.8% projection of 1.2061 to 1.3664 from 1.2951 at 1.5545. Rejection by 1.4689 will bring some consolidations first. But outlook will remain bullish as long as 1.3664 resistance turned support holds, even in case of deep pull back.
