USD/CAD Price Analysis: Depressed around 1.3250 inside five-week-old falling channel

• USD/CAD remains on the back foot while extending the latest pullback from 1.3347.
• RSI conditions offer intermediate bounce inside bearish chart pattern.
• 200-bar SMA adds to the upside barriers, February low offer nearby support.

USD/CAD stays pressured near 1.3245 amid the initial Asian session trading on Thursday. The loonie pair dropped to the fresh low since February the previous day but nearly overbought RSI conditions seem to have limited the quote’s downside past-1.3229. Even so, a descending trend channel formation from July 08 keeps the sellers hopeful.

As a result, February month low near 1.3200 keeps luring the bears once the pair slips below 1.3229. Though, the channel’s support around 1.3170/65 may offer another pullback moves afterward.

In a case where the USD/CAD prices fail to recover from 1.3165, the early-January top around 1.3100 and October 2019 low near 1.3040 could entertain the sellers.

On the upside, 1.3300 and 1.3330/35 can return to the charts during the pair’s fresh bounce. However, buyers will stay cautious unless breaking a 200-bar SMA level of 1.3470, needless to mention about the channel’s resistance line, at 1.3365 now.

USD/CAD four-hour chart

Trend: Bearish