The pair accelerated lower on Wednesday, as the greenback weakened across the board on signals of stronger than expected China's economic growth, with Canada's CPI in line with expectations (Mar 1.9% vs 1.9% f/c) while trade gap unexpectedly narrowed in Feb (-2.9b C$ vs-3.5b C$ f/c). Fresh weakness dipped to one-month low at 1.3274, after breaking below the base of thinning daily cloud, reinforced by 55SMA (1.3291). Rising negative momentum helps bears along with south-heading stochastic and daily MA's (10,20,30SMA) in bearish setup. Bears need close below daily cloud to confirm negative scenario and expose supports at 1.3250/48 (19 Mar trough/Fibo 61.8% of 1.3112/1.3467). Stronger bearish acceleration could risk stretch towards next key support at 1.3199 (200SMA). Broken 100SMA (1.3327) now marks solid resistance which should keep the upside limited and maintain fresh bearish bias.

Res: 1.3327; 1.3341; 1.3356; 1.3366
Sup: 1.3290; 1.3274; 1.3250; 1.3199



Interested in USDCAD technicals? Check out the key levels

    1. R3 1.3445
    2. R2 1.3424
    3. R1 1.3388
  1. PP 1.3367
    1. S1 1.3331
    2. S2 1.331
    3. S3 1.3274


The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

Analysis feed

Latest Forex Analysis

Editors’ Picks

AUD/USD: Fresh lows, channel support tested, Golden Ratio in focus

Bears taking out the H&S neckline, target channel support/uptrend at 0.6829. Failures of the channel open risk to 61.8% Fibo and then 0.6755 November low. The risk-off mood in Asia not helping bull's case ahead of key data and an expected rate cut from a dovish RBA.


USD/JPY: Major bull cross fails to inspire Yen bears

USD/JPY is hovering below 110.00 with yen showing resilience, despite the bullish development on technical charts. The S&P 500 futures are hinting at risk reset in the markets. A notable equity market recovery could weigh over yen. 


Coronavirus FX Selloff, CAD Prime for Bank of Canada Breakout?

The most influential story for the financial markets today was reports that the first US case of corona virus has been confirmed. This deadly virus is spreading across the globe creating concerns about the impact on travel and consumer spending.

Read more

Gold: Stays below $1,560 following Tuesday’s bearish spinning top

Gold remains on the back foot while trading around $1,556.90 during the Asian session on Wednesday. The yellow metal portrayed a bearish candlestick formation, backed by bearish MACD, during the previous day.

Gold News

GBP/USD: Aims to revisit 200-hour SMA, immediate support trendline

GBP/USD registers mild losses while trading around 1.3045 during Wednesday’s Asian session. The pair earlier reversed from 50% Fib retracement of its fall from Jan 07 to 14. A two-week-old falling trend line adds to the resistance.


Forex Majors