USD/CAD’s short-term price activity remains positive, following the sharp bullish reversal from the psychological 1.0000 level (prior trading range). Positive momentum needs to hold above 1.0400 (on a daily close) to rebuild the potential major upside reversal higher above the old resistance level at 1.0673 (August high & Congestion zone). A strong directional confirmation above here will open a much larger recovery into 1.0850 plus. This would extend the upside breakout from the rate’s ending triangle pattern, which was part of a major Elliott Wave cycle.
