USD/CAD Price Analysis: Flirts with 200-SMA after confirming rising wedge bearish pattern


  • USD/CAD consolidates recent losses despite confirming bearish chart formation.
  • Ascending support line from late June becomes the key, three-week-old horizontal area challenges buyers.
  • Downbeat Momentum line, rising wedge confirmation keep sellers hopeful.

USD/CAD refreshes intraday low to 1.2519, down 0.05% on a day, amid Friday’s Asian session. Even so, the Loonie pair seesaws around 200-SMA while raising doubts on the rising wedge confirmation, portrayed on Thursday.

In addition to lacking a clear downside below the 200-SMA level of 1.2515, an ascending support line from June 23, close to 1.2480, also challenges the pair sellers.

It should be noted that sustained trading below 1.2480 will not hesitate to challenge five-week-long horizontal support surrounding 1.2420.

Meanwhile, USD/CAD sellers remain hopeful unless the quote bounces back beyond 1.2545, defying the bearish pattern.

Even so, the formation’s upper line and a short-term horizontal resistance, respectively near 1.2600 and 1.2610, will be a strong hurdle for the bulls to retake controls.

Should the quote remains firmer past 1.2610, 1.2670 and 1.2730 will be important to watch ahead of the previous month’s top around 1.2810.

USD/CAD: Four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price 1.252
Today Daily Change 0.0015
Today Daily Change % 0.12%
Today daily open 1.2505
 
Trends
Daily SMA20 1.2558
Daily SMA50 1.2411
Daily SMA100 1.2371
Daily SMA200 1.257
 
Levels
Previous Daily High 1.2548
Previous Daily Low 1.2489
Previous Weekly High 1.2581
Previous Weekly Low 1.2453
Previous Monthly High 1.2808
Previous Monthly Low 1.2303
Daily Fibonacci 38.2% 1.2512
Daily Fibonacci 61.8% 1.2526
Daily Pivot Point S1 1.248
Daily Pivot Point S2 1.2455
Daily Pivot Point S3 1.2421
Daily Pivot Point R1 1.2539
Daily Pivot Point R2 1.2573
Daily Pivot Point R3 1.2598

 

 

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD retreats toward 1.0550 as dollar rebounds

EUR/USD retreats toward 1.0550 as dollar rebounds

EUR/USD has lost its traction in the American session and retreated to the 1.0550 area. In the absence of high-tier macroeconomic data releases, the dollar is staging a rebound with the US Dollar Index rising above 103.00 and forcing the pair to edge lower.

EUR/USD News

GBP/USD consolidates its weekly gains below 1.2500

GBP/USD consolidates its weekly gains below 1.2500

GBP/USD has extended its sideways grind below 1.2500 into the second half of the day on Friday with the dollar staying resilient against its rivals. Nevertheless, the pair remains on track to snap a four-week losing streak.

GBP/USD News

Gold loses traction, drops below $1,840

Gold loses traction, drops below $1,840

Gold came under modest bearish pressure in the American session on Friday and dropped below $1,840. The benchmark 10-year US Treasury bond yield stays quiet above 2.8%, helping XAU/USD limit its losses ahead of the weekend.

Gold News

Bitcoin price will bounce to $36,000, but what happens next will leave you shocked

Bitcoin price will bounce to $36,000, but what happens next will leave you shocked

A brief technical and on-chain analysis on Bitcoin price. Here, analysts evaluate where BTC could be heading next. Does the possibility for a cat bounce make sense?

Read more

PANW shows bullish reversal chart pattern after earnings beat

PANW shows bullish reversal chart pattern after earnings beat

PANW stock benefits from continued strong revenue growth. Palo Alto Networks now nearly services half of the Global 2000. PANW stock is showing a bullish reversal pattern on its daily chart.

Read more

Forex MAJORS

Cryptocurrencies

Signatures