USD/CAD Price Analysis: Teases key Fibonacci retracement level below 1.2500

USD/CAD struggles to defend rebound from four-month low.
10-DMA guards immediate upside amid downbeat RSI conditions.
Late June’s swing low challenges bears, bulls need validation from July 30 bottom.

Anil Panchal FXStreet

USD/CAD remains sidelined around 1.2370, flirting with the 61.8 Fibonacci retracement (Fibo.) of June-August upside during Monday’s Asian session.

The pair bounced off a four-month low the last week but failed to cross 10-DMA. The rebound, however, seems to the momentum strength per RSI line and hence keeps the bears hopeful.

It's worth noting that the latest bottom close to 1.2290 precedes the June 23 low of 1.2252 in restricting the short-term USD/CAD declines.

However, any further weakness won’t hesitate in challenging the 1.2200 round figure, a break of which will direct the quote towards the yearly low marked in June around the 1.2000 threshold.

Meanwhile, an upside clearance of the 10-DMA level surrounding 1.2370 will need validation from late July’s low near 1.2425 before directing USD/CAD bulls toward the 50% Fibo. level near 1.2480.

Also acting as an upside filter is the September’s low near 1.2495 and the 1.2500 psychological magnet.

USD/CAD: Daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	1.2369
Today Daily Change	0.0005
Today Daily Change %	0.04%
Today daily open	1.2364

Trends
Daily SMA20	1.2505
Daily SMA50	1.2601
Daily SMA100	1.2515
Daily SMA200	1.2498

Levels
Previous Daily High	1.239
Previous Daily Low	1.2321
Previous Weekly High	1.241
Previous Weekly Low	1.2288
Previous Monthly High	1.2896
Previous Monthly Low	1.2494
Daily Fibonacci 38.2%	1.2347
Daily Fibonacci 61.8%	1.2364
Daily Pivot Point S1	1.2326
Daily Pivot Point S2	1.2289
Daily Pivot Point S3	1.2257
Daily Pivot Point R1	1.2395
Daily Pivot Point R2	1.2427
Daily Pivot Point R3	1.2464

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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