USDCAD has a neutral medium-term outlook based on the trend signals which are flat . The three moving averages (50-100 and 200-day MA’s) and the RSI indicator, are trendless.
The short-term outlook is looking more bullish, as prices are above all three moving averages, however the 1.3410 area is a key short-term resistance for the pair. A break above this level would open the way for the market to return to the 1.35 - 1.36 area.
Alternatively, a move to the downside would find support at 1.3295 (100-day MA). There is additional support at the psychological level at 1.3200, which is also where the 200-day moving average is converging. A move below this key support would target the bottom of the recent range, at 1.3000.
To sum up, the medium-term is neutral as USDCAD has been trapped between key levels of 1.30 and 1.36 but the short-term is bullish with strong resistance at 1.3410, which needs to be broken soon in order to strengthen the bullish bias.
Interested in USDCAD technicals? Check out the key levels
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