USD/CAD Price Analysis: Treads water near 1.3600 backed by a barrier at 23.6% Fibonacci

USD/CAD could extend its gains toward a 23.6% Fibonacci retracement.
Technical indicators suggest support around the major level at 1.3550.
A break above the seven-day EMA could approach the 1.3650 major level.

Akhtar Faruqui FXStreet

USD/CAD gains ground for the second consecutive session, maintaining its position near the 1.3600 psychological level during the European session on Thursday. A decisive breakthrough above the latter could open the doors for the USD/CAD pair to explore the barrier around 23.6% Fibonacci retracement at 1.3623 aligned with the seven-day Exponential Moving Average (EMA) at 1.3626.

The improved US Dollar (USD) could inspire the bulls of the USD/CAD pair to approach the major level at 1.3650, followed by the weekly high at 1.3661 if it breaks above the mentioned resistance.

However, the technical indicators for the USD/CAD pair support the current downward trend. The Moving Average Convergence Divergence (MACD) line is below the centerline and shows the divergence below the signal line, indicating a bearish momentum in the USD/CAD pair.

Furthermore, the 14-day Relative Strength Index (RSI) below 50 indicates a dovish sentiment, indicating that the USD/CAD pair could meet the support around the major level at 1.3550 before the weekly low at 1.3541.

If the USD/CAD pair convincingly falls below this level, it might prompt bearish momentum, potentially guiding the pair toward the psychological support zone near 1.3500.

USD/CAD: Daily Chart

USD/CAD: more technical levels

Overview
Today last price	1.3601
Today Daily Change	0.0007
Today Daily Change %	0.05
Today daily open	1.3594

Trends
Daily SMA20	1.3707
Daily SMA50	1.3683
Daily SMA100	1.3556
Daily SMA200	1.3518

Levels
Previous Daily High	1.3615
Previous Daily Low	1.3541
Previous Weekly High	1.3766
Previous Weekly Low	1.3594
Previous Monthly High	1.3892
Previous Monthly Low	1.3562
Daily Fibonacci 38.2%	1.3587
Daily Fibonacci 61.8%	1.3569
Daily Pivot Point S1	1.3552
Daily Pivot Point S2	1.351
Daily Pivot Point S3	1.3478
Daily Pivot Point R1	1.3626
Daily Pivot Point R2	1.3657
Daily Pivot Point R3	1.37

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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