USDCAD is in a corrective mode right now and the move started after CAD overnight rate surprised the investors, remaining at 0.50 % vs 0.25 % which was expected. CAD inflation rate rose to 1.6 % vs 1.7 % expected and we can try to align the data with technical zones to predict future price movement.
At the time of writing the price is around 1.4150 zone (see the chart below) and its exactly 61.8 of last swing L/H. Any double bottom here might spike the price up towards 1.4250. Another zone to watch for comes within 1.4020-45 (L5, previous triple bottom, 78.6) and if the price retraces to the zone we could see the bounce towards 1.4150 and 1.4250.
However if the price reaches upper POC (EMA89,WPP,L3) 1.4365-85 we should see NOW MOMENT sellers who are aligned with historical sellers and the price should reject. So USDCAD can be traded both ways as the price is still in uptrend but the retracement is deeper.
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The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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