USDCAD moves higher but runs into moving average resistance targets

The USDCAD extended higher today helped by the US CPI, but the price action reached out for its 100 bar moving average on the 4-hour chart at 1.35199, and its 100-day moving average at 1.3537. Also in that area is the 50% midpoint of the move down from the November high level comes in at 1.35378. That cluster of resistance has been able to hold on the first test. Going forward, it would take a move above that area to tilt the bias more to the upside.

Conversely, on the downside, a move back below its 200-bar moving average on the four-hour chart at 1.34935 and the 200-day moving average at 1.34787 would have the sellers more in control.

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