USDCAD moved higher on Wednesday to test the swing area between 1.3271 and 1.3285 and again yesterday in 2 separate tests. Yesterday’s high price stopped directly against the high of this swing area at 1.3285. It could not pass and make a run at the 38.2% retracement higher at 1.33222.

In today’s trading, the price tried to push higher again, but again found willing sellers near the 1.32853 level. The price has turned to the downside in the last few hours, helped by weaker than expected core PCE data. It came in at 4.6% versus expectations of 4.7% and in last place at 4.7%. It’s still high, but at least it’s moved down.

The subsequent move lower in the USD and USDCAD extended past the rising 100-hour moving average (blue line) at 1.3215, but fell short of the 200-hour moving average (green line in the chart below), which is currently at 1.32007. The price bounced higher and is currently trading at 1.3239.

Buyers certainly had a chance to raise the price this week. For the first time since June 1st, they got back above the 200 hourly moving average. That opened the door to the upside, but stalled in the target area of ​​the swing and fell short of 38.2%, which has to be disappointing.

So the battle continues with buyers against the 100/200 hourly MA and sellers in the aforementioned swing area (up to 1.32853).

USDCAD stopped at 100/200 hour MA

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