USDCAD trades between swing areas/technical levels

Technical Analysis

50% retracement above.  100/200 hour MAs below

The USDCAD is trading between support defined by the 100/200 hour MA below and the 50% retracement above (resistance). 

The support comes in against the 100/200 hour MAs.  They currently come in at 1.2720 to 1.27256. Also near that level is a swing area between 1.2722 and 1.2733. The low today reached 1.27316 above the MAs, and just into the swing area.

The resistance today stalled just ahead of the 50% retracement of the range since the high on December 21. That level comes in at 1.27925. The high price in the Asian session reached 1.27904.  Also around the 50% are swing highs from January 4, January 5 between 1.27888 and 1.27970.  

The current price is trading between the two extremes at 1.2770.   

Buyers and sellers are battling it out.  You can flip a coin as to who has more control. Perhaps a close intraday support might be eyed at the 38.2% at 1.2754. Stay above, tilts the bias a little more to the upside.

Ultimately, traders will be looking for a break (higher or lower) with momentum on the break.  Until then, the waffle and battle continues.  

For bank trade ideas, check out eFX Plus

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