USD/CAD Price Analysis: Battles key HMA confluence below short-term resistance line

  • USD/CAD trims early day gains towards revisiting the 100, 200-HMA confluence.
  • Sustained trading above key Fibonacci retracements, MACD conditions favor recovery moves.
  • Weekly resistance line holds the key to welcome buyers.

USD/CAD fades bounce off weekly lows while easing to 1.2630 during Wednesday’s Asian session. In doing so, the quote fizzles the early Asia recovery moves but stays above the key HMA confluence as the MACD teases bulls.

Even if the HMA confluence around 1.2620 fails to stop the latest selling pressure, 50% and 61.8% Fibonacci retracement levels of the USD/CAD upside during late last week, respectively around 1.2600 and 1.2570, will be challenging the bears.

In a case where USD/CAD sellers dominate past-1.2570, odds of its drop to the multi-month low marked last week, near 1.2470 can’t be ruled out.

Meanwhile, buyers will look for a clear break of a downward sloping trend line from Monday, currently, around 1.2680, to recall the bullish bets.

Following that, the latest swing high around 1.2740 and the previous month’s peak surrounding 1.2870 should return to the charts

USD/CAD hourly chart

Trend: Further recovery expected

Additional important levels

Today last price 1.2631
Today Daily Change 10 pips
Today Daily Change % 0.08%
Today daily open 1.2621
Daily SMA20 1.2678
Daily SMA50 1.2721
Daily SMA100 1.2871
Daily SMA200 1.3124
Previous Daily High 1.2698
Previous Daily Low 1.26
Previous Weekly High 1.273
Previous Weekly Low 1.2468
Previous Monthly High 1.287
Previous Monthly Low 1.2468
Daily Fibonacci 38.2% 1.2638
Daily Fibonacci 61.8% 1.2661
Daily Pivot Point S1 1.2582
Daily Pivot Point S2 1.2542
Daily Pivot Point S3 1.2484
Daily Pivot Point R1 1.268
Daily Pivot Point R2 1.2738
Daily Pivot Point R3 1.2777



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.

Feed news

Take advantage of market volatility with our daily Forex, Crypto and Indices Trade Ideas!

Become Premium!    

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD: Bulls target 100-DMA again ahead of Eurozone PMIs

EUR/USD is back on the bid above 1.2000, snapping three straight days of sluggishness. The US dollar has resumed its downtrend, helping the spot to make another attempt towards 1.2050. Eurozone/US PMIs awaited after a non-event ECB.


GBP/USD: Looks to UK Retail Sales, PMI to regain 1.3900

GBP/USD stays mildly bid above 1.3850, as the US dollar retreats across the board. Covid vaccine updates and upbeat UK data outweigh renewed Brexit jitters. Focus shifts to the UK Retail Sales and PMIs.


Bitcoin price falls below $50K as investors rush to exit crypto markets on Biden's tax proposal

Bitcoin price crashed below $50,000 after an announcement revealed that US President Joe Biden could increase capital gains taxes for the rich. The leading cryptocurrency fell in tandem with the US stock market as fears of a potential tax hike loom.

Read more

Gold sellers attack $1,781 support-confluence

Gold extends Thursday’s losses from two-month top, bounces off intraday low. Downbeat momentum signals further weakness but 100-HMA, eight-day-old support line tests intraday sellers. Bulls need a clear break above $1,798 to regain market acceptance.

Gold News

Forex Today: Taxes scare stocks and cryptos, dollar retreats from highs ahead of PMIs

Stock markets are on the back foot amid concerns of higher US capital tax increases and rising covid cases in Asian countries. Cryptocurrencies are suffering an extended sell-off. PMIs from Europe, the UK and the US stand out. 

Read more