Daily Pivots: (S1) 1.2526; (P) 1.2559; (R1) 1.2592; More….
USD/CAD rises further today but is still staying below 1.2687 resistance. Intraday bias stays neutral at this point. On the upside, break of 1.287 will resume the rebound from 1.2246 and should target a test on 1.2919 key near term resistance. On the downside, below 1.2450 will target 1.2246 first. Break there will extend the fall from 1.2919 and target 1.2061 keys support level.
In the bigger picture, the rebound from 1.2246 is mixing up the medium term outlook. Nonetheless, USD/CAD is staying below falling 55 week EMA, hence, the bearish case is in favor. That is, fall from 1.4689 is not completed yet. Sustained break of 1.2061 key support will carry larger bearish implication and target 61.8% retracement of 0.9406 to 1.4689 at 1.1424. However, firm break of 1.2919 will revive the case of medium term reversal and turn outlook bullish.
