USD/CAD Hints at Swing LowU.S. DOLLAR / CANADIAN DOLLARFX_IDC:USDCADCityIndexA simple setup may have emerged for USD/CAD bulls. A bullish outside day formed around a support cluster on Thursday, which includes the 1.40 handle, monthly pivot point and weekly VPOC. It also posted a daily close above its 20-day EMA. The 1-hour chart shows a bullish divergence formed on the RSI (14) ahead of yesterday's rally, with price action displaying a falling wedge (bullish reversal) into the cycle lows. Bulls could seek dips towards the 1.4005 high-volume node (HVN) and initially target the weekly pivot point (1.4062), a break above which brings the 1.41 handle into focus. A break beneath the cycle lows invalidates the near-term bullish bias. Matt Simpson, Market Analyst at City Index.