USD/CAD Update – 21/09/2017 (11:30am) – by Arjun Lakhanpal

USD/CAD Update – 21/09/2017 (11:30am): While the near-term retracement continues to develop, the downside risks are intact in line with the corrective bias and the impulsive breakdown below important trend line support from the 2012 low at 1.2359. The more immediate focus is on the 1.2335/1.2414 resistance zone (38.2% retracement/recent breakdown area). Still, an extension above the 1.2600/65 area is necessary to confirm a short-term corrective phase. Again, the primary focus is on the 1.2125/1.1916 zone, which includes the mid 2015 lows as well as the 50% retracement of the rally from the 2011 low.