USD/CAD Price Analysis: Looks set to retest 200-SMA support above 1.2100
|- USD/CAD remains pressured, extends Friday’s pullback from monthly top.
- Firmer RSI, two-week-old ascending support line keeps buyers hopeful.
USD/CAD fades late Monday’s bounce off 1.2128 amid Tuesday’s sluggish Asian session. In doing so, the Loonie pair drops to the intraday low of 1.2137, down 0.05%, during the two-day pullback from the monthly high, flashed on Friday.
It should, however, be noted that upbeat RSI conditions and the quote’s ability to keep Friday’s 200-SMA breakout back the USD/CAD until the quote stays beyond 1.2122.
Also up for challenging the pair sellers is an ascending support line from June 01, around 1.2090.
Hence, the quote’s latest pullback won’t be considered serious unless breaking 1.2090 support.
Though, USD/CAD bulls need a sustained break of 1.2150 to once aim for one-month-old horizontal resistance surrounding 1.2180.
In a case where the pair rises past-1.2180, the 1.2200 threshold and the mid-May high near 1.2205 may test the upside momentum before accelerating the run-up towards April’s low near 1.2265.
USD/CAD four-hour chart
Trend: Pullback expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.