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  • USD/CAD stands on slippery grounds after declining back below 100-SMA.
  • Bearish MACD, sustained break of the key SMAs keep sellers hopeful.
  • Immediate falling trend line, March top add to the upside barriers.

USD/CAD takes offers around 1.2530, down 0.12% intraday, during early Friday. In doing so, the quote drops to the fresh low since March 23 while extending the downside break of 100-SMA and 200-SMA.

Given the MACD conditions flashing bearish signals, USD/CAD sellers can cheer sustained trading below key SMAs to target a horizontal area comprising multiple levels since March 11, around 1.2520.

Although the strong support area is expected to trigger a bounce, any failures will have another bouncing point of 1.2500 round-figure, a break of which will highlight the 1.2475 and March’s low of 1.2365 for USD/CAD bears.

Meanwhile, corrective pullback beyond the 100-SMA level of 1.2540 will need to cross the downward sloping trend line from Tuesday, around 1.2585.

Some extra challenges for the USD/CAD buyers are 200-SMA and March 30 high, respectively around 1.2590 and 1.2650.

USD/CAD four-hour chart

Trend: Further weakness expected