USD/CAD Price Analysis: Buyers meet multi-month support near 1.2370

USD/CAD trades cautiously on Friday in the early Asian session.
Bulls remain hopeful near 1.2370 as a crucial support level.
Momentum oscillator holds onto oversold zone, warns caution against aggressive bids.

Rekha Chauhan Independent Analyst

USD/CAD trades with a cautious tone on Friday in the early Asian trading hours. The pair remains in a narrow trade band with no meaningful traction. At the time of writing, USD/CAD is trading at 1.2372, up 0.04% for the day.

USD/CAD daily chart

On the daily chart, after testing the high of 1.2896 on September 20, the USD/CAD pair came under selling pressure. The pair then took solace at 50-day Simple Moving Average (SMA) at 1.2548 and tested the high of 1.2896. Once again, a break of the mentioned SMA resulted in a downside movement for the pair toward the multi-month support near 1.2370. If the price sustains the intraday high it could move back to the 1.2450 horizontal resistance level.

The Moving Average Convergence Divergence (MACD trades in the oversold zone. Any uptick in the MACD would trigger a fresh round of buying opportunities for the pair. USD/CAD bulls would look out for the psychological 1.2500 mark followed by the high of October,10, at 1.2562

Alternatively, a break of multi-month support will bring more pain to the pair with the first downside target at a low of July 6 at 1.2303 followed by the 1.2300 horizontal support level. Next, the market participant will test the 50-day SMA at a 1.2262.

USD/CAD additional levels

Overview
Today last price	1.2376
Today Daily Change	-0.0066
Today Daily Change %	-0.53
Today daily open	1.2442

Trends
Daily SMA20	1.2638
Daily SMA50	1.2625
Daily SMA100	1.2494
Daily SMA200	1.251

Levels
Previous Daily High	1.2479
Previous Daily Low	1.243
Previous Weekly High	1.2655
Previous Weekly Low	1.2452
Previous Monthly High	1.2896
Previous Monthly Low	1.2494
Daily Fibonacci 38.2%	1.2449
Daily Fibonacci 61.8%	1.246
Daily Pivot Point S1	1.2422
Daily Pivot Point S2	1.2402
Daily Pivot Point S3	1.2374
Daily Pivot Point R1	1.2471
Daily Pivot Point R2	1.2499
Daily Pivot Point R3	1.2519

Author

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

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