Swing low, 61.8% and 200 day MA line up below
The USDCAD is making new lows and in the process is moving toward a cluster of levels defined by the:
- 200 day MA at 1.32656
- 61.8% retracement of the 2019 range at 1.32575
- Swing low from March 19 at 1.3250.
The area could give shorts a low risk level to take some profit. So there may be a stall. Dip buyers who want to try and catch the falling knife, also can define and limit risk against the level.
The warning, however, is the market is trending lower. .