The USDCAD has moved lower after trading to its highest level since April 13. The pair peaked at 1.3869 on two separate occasions during the Asian and early European sessions, with the rally stalling right within a key swing area between 1.3868 and 1.3877. That area has attracted willing sellers and could prove to be an important ceiling after the month-long rally that has taken the pair from the May low at 1.35492 to today’s high at 1.3869.
For sellers to take back more control, however, the price still needs to move below the rising 100-hour moving average at 1.3818. A break below that level would then have traders targeting a key cluster of support including the 200-day moving average at 1.3812 and the 61.8% retracement of the move down from the March high at 1.38068.
If sellers can push below that support zone, the next key downside target comes in at the rising 200-hour moving average at 1.37887. Breaking below that level would increase the bearish bias and give sellers more technical control
