USD/CAD Price Analysis: On the bids above 1.2600, 10-DMA guards immediate upside

USD/CAD refreshing intraday high after bouncing off three-month-old support.
Firmer RSI directs buyers towards 10-DMA before a bumpy road to yearly high.
200-DMA, horizontal line from late June add to the downside filters.

Anil Panchal FXStreet

USD/CAD prints the biggest daily gains in a week, up 0.25% intraday around 1.2622 ahead of Thursday’s European session.

Although failures to cross 10-DMA dragged the quote to an ascending support line from June 01, firmer RSI and successful trading beyond 200-DMA, not to forget firmer fundamentals surrounding greenback, keeps the pair buyers hopeful.

Hence, the quote’s another battle with the 10-DMA level of 1.2650 becomes imminent.

However, July 20 lows near the 1.2680 threshold and a five-week-long horizontal resistance line near 1.2810 will challenge the USD/CAD bulls before pleasing them with the monthly low, also the 2021 top, near 1.2950. It’s worth mentioning that the 1.2835-40 area may also contribute towards making the buyer’s reign worrisome.

Alternatively, a daily closing below the stated support line, near 1.2585, will drag the quote to the 200-DMA level of 1.2545.

In a case where the USD/CAD bears keep reins past 1.2545, June high and August 11 low, near 1.2490 will precede July 30 bottom close to 1.2420 to gain the market’s attention.

USD/CAD: Daily chart

Trend: Further upside expected

Additional important levels

Overview
Today last price	1.2623
Today Daily Change	0.0032
Today Daily Change %	0.25%
Today daily open	1.2591

Trends
Daily SMA20	1.2578
Daily SMA50	1.2512
Daily SMA100	1.2377
Daily SMA200	1.2548

Levels
Previous Daily High	1.2643
Previous Daily Low	1.2587
Previous Weekly High	1.2949
Previous Weekly Low	1.2512
Previous Monthly High	1.2808
Previous Monthly Low	1.2303
Daily Fibonacci 38.2%	1.2622
Daily Fibonacci 61.8%	1.2608
Daily Pivot Point S1	1.257
Daily Pivot Point S2	1.255
Daily Pivot Point S3	1.2514
Daily Pivot Point R1	1.2627
Daily Pivot Point R2	1.2663
Daily Pivot Point R3	1.2684

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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