With USDCAD still maintaining its downside bias (weekly chart), its broader bias remains lower. However, recovery cannot be ruled out following its Friday rally.
On the upside, on a follow through higher resistance stands at the 1.0950 level followed by the 1.1000 level and then the 1.1069 level. A cut through here will turn focus to the 1.1100 level and then the 1.1277 level
Its daily RSI is bullish and pointing higher supporting this view. On the downside, support lies at the 1.0813 level where a break will aim at the 1.0750 level and then the 1.0700 level. Further down, support is located at the 1.0650 level where a break if seen will pave the way for a run at the 1.0600 level. All in all, USDCAD faces further downside pressure though recovering.
Guest post by FX Tech Strategy