- USD/CAD bounces off a nine-day low towards regaining the 1.3000 threshold.
- Nearly oversold RSI conditions join strong supports to limit further downside.
- September month’s high becomes the key resistance, 1.3330 can restrict the latest bounce.
USD/CAD consolidates the recent losses while taking rounds to 1.3285 during the pre-Tokyo open trading on Friday. The quote dropped heavily during the last two days after taking a U-turn from the highest since August 03. Sellers seem to follow RSI conditions near the strong supports.
Among them, the 100-bar SMA level of 1.3268 offers the adjacent challenge to the further downside before an ascending trend line from September 01, at 1.3250 now. Also likely to question the pair’s short-term downside is the early September high near 1.3260.
In a case where the USD/CAD bears ignore expectedly oversold RSI and dominate past-1.3250, the 1.3200 round-figure and the mid-September low near 1.3130 will flash on their radars.
Alternatively, multiple resistances around 1.3330 and 1.3345/50 can question the USD/CAD buyers above 1.3300.
However, the pair’s ability to stay strong beyond 1.3350 will direct the rise towards the September-end top near 1.3420.
USD/CAD daily chart
Trend: Pullback expected
Share
