USD/CAD preferences up bids to reverse intraday losses, probes two-day downtrend.
Multiple transferring averages stand tall to undertaking recuperation moves.
MACD, RSI stipulations advise similarly weak spot however 10-week-old guide line restricts on the spot downside.
USD/CAD licks its wounds in the course of a slow Monday morning as the pre-Fed blackout joins the Lunar New Year vacation trips in China. Even so, the bears stay hopeful as the quote extends the preceding day’s pullback from the key shifting averages. That said, the Loonie pair reverses the week-start losses close to 1.3375 by way of the press time.
Not solely a slew of transferring averages however the bearish MACD indicators and the mainly constant RSI (14) additionally maintain the USD/CAD dealers hopeful of journeying an upward-sloping guide line from November 15, 2022, round 1.3335 at the latest.
It ought to be stated that the quote’s weak spot previous 1.3335 ought to make it prone to shedding towards the September swing excessive close to 1.3205. However, the 200-DMA help of round 1.3195 should assignment the USD/CAD bears afterward.
In a case the place the USD/CAD bears hold the reins previous 1.3195, the 1.3000 psychological magnet will be in focus.
Alternatively, the 21-DMA guards the pair’s immediately upside round 1.3480 in advance of the convergence of the 50-DMA and the 100-DMA, shut to 1.3510-20.
If at all the USD/CAD customers manipulate to move the 1.3520 hurdle, a downward-sloping resistance line from October 13, 2022, close to 1.3615, ought to act as the remaining protection of the pair sellers.
Overall, USD/CAD stays on the bear’s radar even if the 2.5-month-old aid line limits close by declines.
