Home USD/CAD Price Analysis: Inside short-term falling channel below 200-HMA
FXStreet News

USD/CAD Price Analysis: Inside short-term falling channel below 200-HMA

  • USD/CAD stays inside bearish technical formation below the key short-term moving average.
  • 61.8% Fibonacci retracement offers immediate upside barrier, the channel’s support could keep bears in check.

USD/CAD remains on the back foot while staying inside a three-day-old falling channel below 200-HMA, currently up 0.07% around 1.4030, during the early Friday.

Also signaling the pair’s further downside is the sustained trading below 61.8% Fibonacci retracement of its March 15-19 upside.

That said, the pair now declines towards the formation’s support line, at 1.3970, with 1.4000 round-figure acting as an immediate rest.

During the pair’s sustained break below 1.3970, which is less likely considering bullish MACD, the mid-month bottom surrounding 1.3730 could return to the charts.

On the upside, 61.8% Fibonacci retracement level of 1.4090 can offer the immediate resistance ahead of the descending channel’s resistance, around 1.4190/95.

It should, however, be noted that the pair’s ability to cross 1.4200 enables it to question a 200-HMA level of 1.4330.

USD/CAD hourly chart

Trend: Bearish

 

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.