USD/CAD Technical Analysis: 1.2885 bear target mission accomplished - 1.2800 figure can be next on the bears' radar

USD/CAD main bull trend is on hold since late June.
As anticipated USD/CAD reached 1.2885 (August 28 swing low). While USD/CAD might have a bounce at the current support, the bias remains bearish with the 50-period simple moving average (SMA) crossing below the 100 and 200-period SMA.
If the bears break below 1.2885 support then 1.2855-65 (June 6 low - 200-day SMA) and 1.2800 figure can be next on the radar. However, since USD/CAD is oversold the move down might come next week.

Flavio Tosti Independent Analyst

USD/CAD 4-hour chart

Spot rate: 1.2901
Relative change: -0.11%
High: 1.2932
Low: 1.2884

Trend: Bullish
Short-term trend: Bearish

Resistance 1: 1.2959 August 7 low
Resistance 2: 1.3000 figure
Resistance 3: 1.3048 August 14 low
Resistance 4: 1.3108, September 7 low

Support 1: 1.2885 August 28 swing low
Support 2: 1.2855-65 June 6 low - 200-day SMA
Support 3: 1.2800 figure

Author

Flavio Tosti

Independent Analyst

EUR/USD struggles to hold above 1.1800 ahead of US data

EUR/USD finds it difficult to gather recovery momentum and retreats below 1.1800 in the second half of the day on Thursday. The US Dollar (USD) stays resilient against its peers after the hawkish surprise in FOMC Minutes, weighing on the pair ahead of the next batch of US data.

GBP/USD recovers above 1.3500 amid better mood

GBP/USD finds fresh demand and rises back above 1.3500 in the European session on Thursday. Improving risk sentiment and renewed US Dollar weakness are helping the pair recover ground ahead of mid-tier US data releases and Fedspeak.

Gold retreats from daily highs, trades below $5,000

Gold finds it difficult to stabilize above the $5,000 psychological mark on Thursday and trades slightly below this level in the early American session. Escalating geopolitical tensions in the Middle East help XAU/USD hold its ground, while the broad-based USD strength caps the pair's upside.

Injective token surges over 13% following the approval of the mainnet upgrade proposal

Injective price rallies over 13% on Thursday after the network confirmed the approval of its IIP-619 proposal. The green light for the mainnet upgrade has boosted traders’ sentiment, as the upgrade aims to scale Injective’s real-time Ethereum Virtual Machine architecture and enhance its capabilities to support next-generation payments. The technical outlook suggests further gains if INJ breaks above key resistance.

Hawkish Fed minutes and a market finding its footing

It was green across the board for US Stock market indexes at the close on Wednesday, with most S&P 500 names ending higher, adding 38 points (0.6%) to 6,881 overall. At the GICS sector level, energy led gains, followed by technology and consumer discretionary, while utilities and real estate posted the largest losses.