USD/CAD technical analysis: Consolidates in a range near 200-hour SMA ahead of US data
|- The USD/CAD pair extended its sideways consolidative price action through the mid-European session but now seems to have formed a firm base near 200-hour SMA.
- Given that the pair had shown some resilience near 50-hour SMA over the past three trading sessions, the set-up support prospects for a further near-term appreciating move.
The fact that the pair has managed to hold its neck above its important intraday moving averages and moved above 200-hour SMA for the first time in nearly two weeks further reinforce the constructive outlook amid some renewed weakness in Crude Oil prices.
Meanwhile, technical indicators on hourly charts have been gaining positive traction and also recovered from the negative territory on the daily charts, paving the way for an extension of the pair's recent recovery move from multi-month lows set earlier this week.
Sustained move beyond 100-day SMA immediate hurdle will reaffirm the bullish bias and trigger some aggressive technical buying, lifting the pair back towards the 1.3400 round figure mark. The mentioned handle coincides with 50-day SMA and might cap further intraday gains.
USD/CAD 1-hourly chart
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