USD/CAD Price Analysis: Steps back from 21-DMA to snap four-day uptrend

USD/CAD takes offers to refresh intraday low, drops for the first time in last five days.
Bearish MACD, failures to cross key DMAs keep sellers hopeful.
Two-month-old support line lures bears, 200-DMA adds to upside filters.

Anil Panchal FXStreet

USD/CAD sellers return to the table, after a four-day trip to the north, as European traders prepare for Thursday’s bell. That said, the Loonie pair drops 0.11% to 1.2525 by the press time.

In doing so, the quote reverses from 21-DMA amid bearish MACD, suggesting further weakness towards the 1.2500 threshold.

However, an ascending support line from June 01, near 1.2460, could challenge the USD/CAD bears afterward, a break of which will direct the quote to monthly horizontal support near 1.2420–25.

It’s worth noting that June’s top surrounding 1.2485 adds to the supports whereas the last month’s low near 1.2300 could lure the pair sellers after breaking 1.2420.

Meanwhile, a clear break of 21-DMA level of 1.2547 will recall short-term USD/CAD buyers targeting the 200-DMA level of 1.2583.

Though, the pair’s upside past 1.2585 will be challenged by late July’s top near the 1.2600 round figure before highlighting 1.2685 and the previous month’s top around 1.2800 for the bulls.

USD/CAD: Daily chart

Trend: Pullback expected

Additional important levels

Overview
Today last price	1.2527
Today Daily Change	-0.0014
Today Daily Change %	-0.11%
Today daily open	1.2541

Trends
Daily SMA20	1.2548
Daily SMA50	1.2364
Daily SMA100	1.2371
Daily SMA200	1.2587

Levels
Previous Daily High	1.2563
Previous Daily Low	1.2516
Previous Weekly High	1.2605
Previous Weekly Low	1.2422
Previous Monthly High	1.2808
Previous Monthly Low	1.2303
Daily Fibonacci 38.2%	1.2545
Daily Fibonacci 61.8%	1.2534
Daily Pivot Point S1	1.2517
Daily Pivot Point S2	1.2493
Daily Pivot Point S3	1.247
Daily Pivot Point R1	1.2564
Daily Pivot Point R2	1.2587
Daily Pivot Point R3	1.2611

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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