The USDCAD – like many pairs this week – saw the pair move in the USD downward direction, only to rebound after the Fed and the follow through buying today (partly from flight to safety after ECB become more hawkish). The move to the upside moved up to test a topside trend line on the hourly chart connecting the recent highs. There is a stall and some modest selling.
On the way up today, the price extended back above the 100/200 hour MAs which are near converged.
At the lows this week, the price bottomed on Tuesday and Wednesday near the swing high from December 2 and formed a floor there.
This article was originally published by Forexlive.com. Read the original article here.