Support held. Now working back to the resistance.
The USDCAD is back up retesting the 100 hour MA at 1.3111. That MA was tested on Friday. It was retested earlier in the day before moving down to test the key 100 day and 100 bar MA on the 4-hour chart (at 1.3068-72) (see earlier post).
The price is ping-ponging off the MA levels. Is it time to “ping”again (seller against the 100 hour MA)? It worked before, plus risk is defined and limited (which is why it make sense).
So look for sellers with stops above and traders reversing long if there is more momentum above the Friday high at 1.3118. Buyers – from key support below = have a good reason to sell/take profit, and new sellers have a low risk level to sell as well (with stop above 1.3118).
If the resistance does hold, the sellers will eye a move back below the 200 hour MA to show that the ups and downs – using technical levels – are still the dominant up and down non-trend.