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Remains Weak

USDCAD TECHS
  • RES 4: 1.2648 High Oct 6
  • RES 3: 1.2568 50-day EMA
  • RES 2: 1.2494 Low Sep 3 and a recent breakout level
  • RES 1: 1.2449 High Oct 14
  • PRICE: 1.2335 @ 06:55 BST Oct 19
  • SUP 1: 1.2303 Low Jul 6
  • SUP 2: 1.2253 Low 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. Key support at the Jul 30 low of 1.2422 has recently been cleared reinforcing bearish conditions and signalling scope for an extension of the downleg. This has opened 1.2303, Jul 6 low. Note too that moving average conditions appear to be turning bearish, reinforcing the current sentiment. Initial firm resistance is seen at 1.2494, Sep 3 low. A break would ease the current bearish pressure.

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