USD/CAD Price Analysis: Bounces off monthly low ahead of Canadian jobs report

USD/CAD snaps three-day losing streak, consolidates heaviest declines in two weeks.
Bearish MACD, sustained trading below key SMAs keep sellers hopeful.
Forecasts for Canadian employment figures suggests recovery in February.

Anil Panchal FXStreet

USD/CAD wavers around 1.2540, up 0.13% intraday, while heading into Friday’s European session. In doing so, the quote takes rounds to the day’s top after bouncing off a monthly low of 1.2520 to defy the previous three-day downtrend.

However, the pair traders remain cautious of the corrective pullback amid bearish MACD and the quote’s trading below 21-day and 50-day SMA, not to forget a descending resistance line from January 28.

Also challenging the USD/CAD recovery is the anticipated strength in the Canadian employment data, up for publishing at 13:30 GMT today.

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The pair currently targets March 04 low near 1.2575 but 21-day and 50-day SMAs, respectively around 1.2635 and 1.2695, will be tough challenges for the USD/CAD bulls.

Even if the quote manages to cross 1.2695, also the 1.2700 threshold, a six-week-old falling trend line near 1.2710, will add to the upside barriers.

Meanwhile, the 1.2500 round-figure serves as immediate support ahead of highlighting the three-month-long support line around 1.2455.

USD/CAD daily chart

Trend: Bearish

Additional important levels

Overview
Today last price	1.2542
Today Daily Change	17 pips
Today Daily Change %	0.14%
Today daily open	1.2525

Trends
Daily SMA20	1.2639
Daily SMA50	1.2695
Daily SMA100	1.2834
Daily SMA200	1.3089

Levels
Previous Daily High	1.2625
Previous Daily Low	1.2521
Previous Weekly High	1.274
Previous Weekly Low	1.2575
Previous Monthly High	1.287
Previous Monthly Low	1.2468
Daily Fibonacci 38.2%	1.2561
Daily Fibonacci 61.8%	1.2585
Daily Pivot Point S1	1.2489
Daily Pivot Point S2	1.2452
Daily Pivot Point S3	1.2384
Daily Pivot Point R1	1.2593
Daily Pivot Point R2	1.2662
Daily Pivot Point R3	1.2698

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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