USD/CAD Daily Outlook
Daily Pivots: (S1) 1.3324; (P) 1.3370; (R1) 1.3448;
USD/CAD rebounds strongly after drawing support from 4 hour 55 EMA. But it’s staying below 1.3444 resistance. Intraday bias remains neutral first. As long as 1.3160 minor support holds, further rally is still expected. On the upside, break of 1.3444 will turn bias back to the upside. Larger rally from 1.2061 should target 1.3685 fibonacci level next.
In the bigger picture, up trend from 1.2061 (2017 low) is still in progress and should target to 61.8% retracement of 1.4689 (2016 high) to 1.2061 at 1.3685. This will remain the preferred case as long as channel support (now at 1.2949) holds.
EUR/CHF Daily Outlook
Daily Pivots: (S1) 1.1218; (P) 1.1263; (R1) 1.1290;
EUR/CHF’s break of 1.1260 support confirms resumption of whole decline from 1.1501. Intraday bias stays on the downside for 1.1173 low next. For now, we’d expect strong support inside 1.1154/98 key support zone to bring reversal. On the upside, above 1.1277 minor resistance will turn intraday bias neutral first.
In the bigger picture, price actions from 1.2004 medium term top is seen as a correction only. Downside should be contained by support zone of 1.1198 (2016 high) and 61.8% retracement of 1.0629 to 1.2004 at 1.1154 to complete it and bring rebound. A break of 1.2 key resistance is still expected in the medium term long term. However, sustained break of the mentioned support zone will mark reversal of the long term trend. In that case, 1.0629 key support will be back into focus.
