USDCAD is trading above 1.34. Short-term trend remains bullish since the back test of the channel break out around 1.3160. Since then we gave a bounce target of 1.3350-1.34. Price has now reached the 61.8% Fibonacci retracement level.
USDCAD is at key Fibonacci resistance. We are now looking to be less bullish than when price was at 1.3160. It is time for bulls to take some profits and be very cautious. The RSI is at overbought levels and price could turn around lower. The second leg higher from 1.3160 is now equal to the first leg higher. It is time for traders be cautious as a short-term trend change might follow.
