USD/CAD Technical Analysis: Hourly MAs indicate dips could be short-lived

• The bearish divergence of the hourly chart relative strength index is signaling bullish exhaustion in the USD/CAD, however, pull back, if any, will likely be short-lived as the stacking order of the 50-hour moving average (MA), above the 100-hour MA, above the 200-hour MA, a classic bullish setup, indicates the path of least resistance is on the higher side.
• As of writing, the spot is trading in a sideways channel. An upside breakout would signal a continuation of the rally, set in motion by the falling channel breakout.

Hourly chart

Spot Rate: 1.3184

Daily High: 1.3184

Daily Low: 1.3164

Trend: Bullish

Resistance

R1: 1.3196 (61.8% Fib R of 1.3386/1.2887)

R2: 1.3208 (April 9 high)

R3: 1.3268 (76.4% Fib R of 1.3386/1.2887)

Support

S1: 1.3175 (Aug. 15 high)

S2: 1.3136 (5-day moving average)

S3: 1.31 (psychological level)