Being contained by the support of the lower line of the price channel on daily chart, USDCAD rebounded from 1.0180, suggesting that a cycle bottom is being formed on daily chart. Range trading between 1.0180 and 1.0341 would likely be seen next week. As long as 1.0180 support holds, the price action from 1.0341 could be treated as consolidation of the uptrend from 0.9815, one more rise towards 1.0500 is still possible after consolidation.
For long term analysis, USDCAD had formed a cycle bottom at 0.9632 (Sep 14, 2012 low) on weekly chart. Further rise to 1.0500 area could be expected over the next several weeks.
