Daily Pivots: (S1) 1.2778; (P) 1.2816; (R1) 1.2888; More…
No change in USD/CAD’s outlook as rise form 1.2286 is in progress despite some loss of upside momentum. Further rally would be seen to 1.2894/2947 resistance zone. Break there will target 1.3022 long term fibonacci level next. On the downside, break of 1.2639 will indicate short term topping, and turn bias back to the downside for 55 day EMA (now at 1.2591).
In the bigger picture, medium term outlook is neutral for now. The pair drew support from 1.2061 cluster and rebounded. Yet, upside was limited below 38.2% retracement of 1.4667 to 1.2005 at 1.3022. On the upside, firm break of 1.3022 should affirm the case of medium term bullish reversal. However, break of 1.2286 will turn focus back to 1.2005 low again.
