USDCAD sellers push lower but fall stalls at earlier low and retracement target

<p>The USDCAD moved higher earlier in the day and in the process, was able to extend below the 50% midpoint of the move down from the May 2023 high. The midpoint level came in at 1.33729. The high price reached about 5 pips higher at 1.33774 before failing and rotating back to the downside.</p><p>The subsequent move lower has taken the price back to the Asian-Pacific session lows near 1.3333. That level also corresponds with the 38.2% retracement of the trend move higher from yesterday's low.</p><p>After a trend-like move like we saw yesterday, a correction needs to get below 38.2% retracement to confirm that sellers are taking back the minimum retracement control. Absent that, the buyers are still winning (and the sellers are not).</p><p>So watch 1.3333 for bias control in the short term. Staying above is more bullish. Move below is more bearish. </p>

This article was written by Greg Michalowski at www.forexlive.com.