Canadian Dollar Waiting For More Gains

The Canadian dollar built on the pivotal support floor published in the previous analysis, at 1.2600, succeeded in stopping the bearish bias and forced the pair to rebound to the upside again to retest the resistance level of 1.2720.

Technically, we find the 50-day moving average that returned to hold the price from below, accompanied by positive signals coming from the RSI and its stability above the 50 mid-line.

Therefore, we are inclined to the positive condition of breaching 1.2720 represented by the 50.0% Fibonacci to open the door for 1.2770, 38.20% Fibo, and the gains may extend later to visit 1.2830.

Activating the bullish scenario depends on the stability of the intraday trading above 1.2665, and in general, above 1.2600. 

Note: Canadian CPI is due today and may cause high volatility

S1: 1.2625	R1: 1.2720
S2: 1.2560	R2: 1.2770
S3: 1.2510	R3: 1.2840