- USD/CAD seesaws near three-month low.
- 23.6% Fibonacci retracement grabs buyers’ attention during recovery.
Having registered the minimal difference between the open and close prices on Thursday, the USD/CAD pair flashes 1.3075 by the press time of early Friday.
The pair marked a bullish Doji candlestick formation on the daily chart while oversold conditions of 14-day Relative Strength Index (RSI) also increase the odds for recovery.
Even so, 23.6% Fibonacci retracement level of June-July downpour near 1.3145 could keep the prices in check ahead of highlighting 21-day Exponential Moving Average (EMA) level of 1.3175.
In a case where the quote rallies past-1.3175 on a daily closing basis, 1.3200 and mid-month top around 1.3250 will lure buyers.
On the flip side, pair’s declines below 1.3050 can challenge yearly bottom near 1.3015 whereas 1.3000 and 1.2880 may become bears’ favorite then after.
USD/CAD daily chart
Trend: recovery expected
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