Technical Analysis

The USDCAD tests 100 day MA. Finds leaners against the level.

100 day MA at 1.23945

The USDCAD is making a new high for the day, and in the process has tested the 100 day MA at 1.23945. The price MA has attracted leaning sellers against the level on the first look as risk can be defined and limited against the key moving average level.  The price is currently trading at 1.2382.

At the lows today, the price try to dip back below the 200 hour moving average and quiet trading during the Asian session. Yes, there were little peaks below the MA line (see green line in the chart above), but was a lack of downside momentum.  Ultimately, the price move back above a swing area around the 1.2354 level. That help determine sellers in the buyers. The price moved higher.

Now with the 100 day moving average target being reached, “the market” has a decision to make.  Break back above the 100 day moving average, or have the sellers against the MA pushed price back toward the 1.2354 area and the rising 200 hour moving average.  

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