Can there be a break in the present day?
The Canada GDP got here in a lot worse than anticipated (and to pour salt in wounds) appears to have been leaked as properly (what a multitude).
The run larger took the worth to a excessive at 1.32405. That obtained inside sniffing distance of the pairs 100 day MA at 1.32503.
Recall on Tuesday, there was one other run towards the 100 day MA. On that run, the excessive reached 1.3234 whereas the 100 day MA was at 1.3244. So each checks, stalled about 10 pips from the important thing MA.
Does in the present day’s run crack above the MA?
Drilling to the 5 minute chart beneath, now we have corrected modestly off the highs. That correction moved to a low of 1.3209. The 38.2% is available in at 1.3198. My feeling is that as lengthy on the 1.3198 degree holds, the consumers stay in management. A transfer beneath would harm the sentiment. Till then the consumers are in management.
A break above the 100 day MA would open the door for additional upside. Trying on the every day chart, the break would look towards the 38.2% of the transfer down from the tip of December excessive at 1.32956 (see chart beneath).
PS crude oil is shifting decrease (down $-Zero.81 at $56.40). That’s serving to the USDCAD sentiment too (decrease CAD)..