Technical Analysis

USDCAD retraces the gains post-BOC rate decision

The USDCAD falls back to the low seen after the BOC rate decision

The USDCAD initially dipped before moving higher after the BOC rate decision at 10 AM ET. The high price spiked above the swing highs from August 27 and the earlier session high near 1.2708. The price moved above the 50% midpoint at 1.27204 on its way to a high price at 1.2761.

The last few hours however, have seen the price rotate back to the downside falling back below the 50%, the old swing highs at 1.2708 and the broken 38.2% retracement.  The next target comes in at the post–BOC low at 1.26439. That level is between a swing area between 1.26382 and 1.26527. Move below that North American session low, and the low for the day from the Asian session at 1.26255 would be targeted. Below that and the door opens up for a rotation back toward the 200 hour moving average at 1.25928

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