The USDCAD is higher on the day ahead of the rate decision tomorrow where the BOC is expected to cut rates by 25 basis points. Lower oil prices is also helping to support the USDCAD (weaken the CAD).
The price rises today has taken the price above the 100 bar moving average on the 4-hour chart at 1.3653, the 100 and 200-hour moving averages which are converged at 1.3666, and the 200 bar moving average of the 4hour chart 1.36772.
The price is trading above and below its 200-bar MA on fhe 4-hour chart but is so far able to stay above the converged 100/20 hour MAs. That level at 1.3666 is the a barometer for the short-term traders today. If buyers lean against that area, they remain in control.
If the price moves below that level with momentum, the trading bias shifts back to the seller’s favor.
This article was written by Greg Michalowski at www.forexlive.com.
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