USD/CAD Price Analysis: Bulls keep reins beyond 1.2850 support confluence
|- USD/CAD grinds higher around weekly top, flirts with short-term resistance line.
- 200-HMA, 100-HMA join one-week-old ascending trend line to restrict the immediate downside.
- Bulls approach 1.2935-40 horizontal hudle, MACD teases bears.
USD/CAD remains on the bull’s radar as it edges higher around 1.2920 during Thursday’s Asian session. In doing so, the Loonie pair seesaws near a downward sloping resistance line from Monday amid an impending bear cross on the MACD.
Even so, sustained trading beyond the convergence of the 100-HMA, 200-HMA and a one-week-long ascending trend line, around 1.2850, keeps the USD/CAD buyers hopeful.
As a result, the quote appears on the way to the weekly horizontal resistance around 1.2935-40.
Following that, the monthly high around 1.2985 and the 1.3000 psychological magnet will be in focus.
On the contrary, pullback moves become elusive beyond the 1.2850 support confluence.
Also acting as a downside filter is the weekly bottom surrounding 1.2825 and the 1.2800 round figure.
In a case where the USD/CAD prices stay weak past 1.2800, the odds of witnessing a south-run towards the monthly low near 1.2725 can’t be ruled out.
To sum up, USD/CAD is on the bull’s radar but with limited upside room.
USD/CAD: Hourly chart
Trend: Further upside expected
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