USD/CAD Price Analysis: Bears take a breather on their way to 1.3470 support

USD/CAD pares intraday losses at the lowest levels in six weeks.
Clear downside break of two-month-old ascending trend line, 100-DMA favor sellers.
61.8% Fibonacci retracement level lures sellers amid bearish MACD signals.
Loonie pair buyers should remain cautious below 1.3650-55.

Anil Panchal FXStreet

USD/CAD licks its wounds around 1.3500 after refreshing the 1.5-month low early Monday.

In doing so, the Loonie pair sellers take a breather after breaking the short-term key support line, now resistance, as well as the 100-DMA. Not only the DMA and support line break but the bearish MACD signals also keep the USD/CAD pair sellers hopeful.

That said, the quote is on the way to testing the 61.8% Fibonacci retracement level of its November 2022 to March 2023 upside, near 1.3470. However, the RSI (14) slides below the 50 level and suggest dip-buying at lower levels, which in turn can test the USD/CAD bears afterward.

Should the quote remains bearish past 1.3470, multiple levels around 1.3390 and 1.3320 can test the USD/CAD sellers before highlighting an upward-sloping support line from November 15, 2022, close to 1.3300 by the press time.

Meanwhile, the 100-DMA and the previous support line restrict short-term USD/CAD rebound near 1.3525 and 1.3565 in that order.

However, a horizontal area comprising multiple levels marked since late February 2023, near 1.3650-55, appears a tough nut to crack for the USD/CAD, a break of which could push back the bearish hopes, at least for a while

USD/CAD: Daily chart

Trend: Further downside expected

Additional important levels

Overview
Today last price	1.3507
Today Daily Change	-0.0012
Today Daily Change %	-0.09%
Today daily open	1.3519

Trends
Daily SMA20	1.3695
Daily SMA50	1.3543
Daily SMA100	1.3522
Daily SMA200	1.3375

Levels
Previous Daily High	1.3564
Previous Daily Low	1.3508
Previous Weekly High	1.3745
Previous Weekly Low	1.3508
Previous Monthly High	1.3862
Previous Monthly Low	1.3508
Daily Fibonacci 38.2%	1.3529
Daily Fibonacci 61.8%	1.3543
Daily Pivot Point S1	1.3496
Daily Pivot Point S2	1.3474
Daily Pivot Point S3	1.344
Daily Pivot Point R1	1.3553
Daily Pivot Point R2	1.3587
Daily Pivot Point R3	1.361

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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