USD/CAD Price Analysis: Keeps pullback from 50-DMA above 1.2620 key support

USD/CAD fades the previous day’s bounce from weekly low.
A confluence of 100-DMA, 50% Fibonacci retracement restrict short-term downside.
Steady RSI, bullish MACD signals keep buyers hopeful.
Previous support line, 50-DMA guards nearby advances ahead of January’s top.

Anil Panchal FXStreet

USD/CAD remains pressured around 1.2680 during Friday’s Asian session, following the previous day’s U-turn from 50-DMA.

Thursday’s pullback also marked the quote’s inability to cross the previous support line from January 19, around 1.2715.

However, a convergence of the 100-DMA and 50% Fibonacci retracement (Fibo.) of October-December 2021 upside, near 1.2620, becomes the key support to watch during the quote’s further weakness. That said, firmer RSI and MACD signals are in favor of buyers.

Hence, USD/CAD prices are likely to have a limited horizon to move during the key jobs report, between 1.2715 and 1.2620.

Should the quote drops below 1.2620, the mid-January peak near 1.2570 may entertain USD/CAD bears before directing them to the yearly low of 1.2450.

On the contrary, an upside clearance of 1.2715 resistance will direct the quote towards January’s peak of 1.2813.

USD/CAD: Daily chart

Trend: Further upside expected

Additional important levels

Overview
Today last price	1.2679
Today Daily Change	-0.0011
Today Daily Change %	-0.09%
Today daily open	1.269

Trends
Daily SMA20	1.2616
Daily SMA50	1.2717
Daily SMA100	1.2625
Daily SMA200	1.2513

Levels
Previous Daily High	1.2716
Previous Daily Low	1.2658
Previous Weekly High	1.2797
Previous Weekly Low	1.2554
Previous Monthly High	1.2814
Previous Monthly Low	1.2451
Daily Fibonacci 38.2%	1.2693
Daily Fibonacci 61.8%	1.268
Daily Pivot Point S1	1.266
Daily Pivot Point S2	1.263
Daily Pivot Point S3	1.2603
Daily Pivot Point R1	1.2718
Daily Pivot Point R2	1.2746
Daily Pivot Point R3	1.2776

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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