USD/CAD Price Analysis: Rebounds off key support, as the downtrend remains suspect

USD/CAD stalls its downtrend, finding support at 1.3489, just above the 200-day Moving Average, and trades 0.14% higher.
If the pair sustains above 1.3489, it could target resistance levels at 1.3550, 1.3580/90, and the psychological 1.3600 mark.
A break below 1.3489 could signal a bearish resumption, exposing the 200-DMA at 1.3463 and the 50-DMA at 1.3413.

Christian Borjon Valencia FXStreet

The USD/CAD downtrend stalls after the US Dollar found its footing, trimming some of its previous losses against the Loonie. Support emerged at around 1.3489, cushioning the pair’s fall and the 200-day Moving Average (DMA) sitting below that level. As of writing, the currency pair exchanges hands at 1.3527, up 0.14%.

From a daily chart perspective, the pair remains upward-biased despite the recent retracement. Sellers failed to drag prices below the September 1 swing low of 1.3489, which could exacerbate a leg up, and the USD/CAD could resume its uptrend in the short term. Hence, the first resistance would be the 1.3550 area, followed by the confluence of the September 12 and 13 highs at around 1.3580/90, immediately followed by the 1.3600 psychological level.

Contrarily, a bearish resumption would happen if the USD/CAD slumps below 1.3489, which could trigger a break in the market structure and expose the 200-DMA at 1.3463. A breach of the latter would expose the 50-DMA at 1.3413, followed by the July 7 daily high turned support at 1.3387.

USD/CAD Price Action – Daily chart

USD/CAD Technical Levels

USD/CAD

Overview
Today last price	1.3528
Today Daily Change	0.0020
Today Daily Change %	0.15
Today daily open	1.3508

Trends
Daily SMA20	1.3576
Daily SMA50	1.3409
Daily SMA100	1.3403
Daily SMA200	1.3466

Levels
Previous Daily High	1.3557
Previous Daily Low	1.3493
Previous Weekly High	1.3694
Previous Weekly Low	1.3576
Previous Monthly High	1.364
Previous Monthly Low	1.3184
Daily Fibonacci 38.2%	1.3518
Daily Fibonacci 61.8%	1.3532
Daily Pivot Point S1	1.3482
Daily Pivot Point S2	1.3456
Daily Pivot Point S3	1.3419
Daily Pivot Point R1	1.3546
Daily Pivot Point R2	1.3583
Daily Pivot Point R3	1.3609

Author

Christian Borjon Valencia

FXStreet

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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