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Needle Still Points South

USDCAD TECHS
  • RES 4: 1.2648 High Oct 6
  • RES 3: 1.2584 50-day EMA
  • RES 2: 1.2494 Low Sep 3 and a recent breakout level
  • RES 1: 1.2449 High Oct 14
  • PRICE: 1.2352 @ 07:01 BST Oct 15
  • SUP 1: 1.2303 Low Jul 6
  • SUP 2: 1.2269/53 2.0% 10-dma envelope / Lo Jun 23
  • SUP 3: 1.2229 76.4% retracement of the Jun - Aug rally
  • SUP 4: 1.2157 Low Jun 16

The USDCAD bear cycle that started Sep 20 remains in place and the pair continues to weaken. Key support at the Jul 30 low of 1.2422 has been cleared reinforcing bearish conditions and paving the way for an extension of the downleg. This has opened 1.2303, Jul 6 low and moving average conditions appear to be turning bearish reinforcing the current sentiment. Initial firm resistance is seen at 1.2494, Sep 3 low.

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