USD/CAD analysis: Declines below support levels

Dukascopy Bank Team Dukascopy Bank SA

USD/CAD

The USD/CAD currency exchange rate ended its sideways trading on Friday at noon. By the middle of Monday's trading, the pair had passed below the support zone at 1.2570/1.2575 and the 50-hour simple moving average near 1.2555. The next target for the decline was the weekly simple pivot point at the 1.2512 level.

In the case that the rate finds enough support in the weekly simple pivot point at 1.2512, a recovery would occur. A potential recovery would aim at the resistance of the 1.2570/1.2575 zone and the 50-hour simple moving average, which was located near the zone. Further above, the 1.2600 mark might keep the USD/CAD down.

A move below the pivot point would most likely almost immediately find support in the 1.2500 level and the zone that surrounds it. Below the 1.2500 mark, the rate could find support in the 200-hour simple moving average near 1.2475.

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Dukascopy Bank Team

Dukascopy Bank SA

Dukascopy Bank stands as an innovative Swiss online banking institution, with its headquarters situated in Geneva, Switzerland.

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