The USDCAD is trading in an up-and-down range today. The low in the Asian session was stalled near a swing area between 1.3687 and 1.3700. The rising 100-hour moving average is now in between that area at 1.36928 (see blue line in the chart below). If the price were to move below the 100-hour moving average and the swing area, the sellers would assume more control and in the short term. The 100-hour moving out stalled the fall on Friday, increasing the moving average’s importance going forward.
On the topside today, the high price stalled near the low of a swing area between 1.3736 and 1.3743 (see red numbered circles on the chart below). The high prices from last week stalled near that area and that is helping to put a lid on the pair as well today.
So to start the trading week, buyers and sellers are battling it out between technical levels. At some point there will be a break with hoped for momentum on the break. Given the ability to hold support against the swing area and stay above the 100 hour moving average, the buyers have a small advantage technically. However, traders against the topside swing area are still in play as well.
This article was written by Greg Michalowski at www.forexlive.com. Source