USD/CAD technical analysis: 1.3042/38 regains seller’s attention despite oversold RSI

Failure to rise past-1.3144/51 drags the USD/CAD pair down to revisit near-term horizontal support area.
21-day EMA offers additional resistances on the upside.
1.2970, 1.2890/85 can please sellers during an additional downpour.

Anil Panchal FXStreet

Having pulled back from 1.3151/44 resistance-area, including latest tops and June 20 bottom, USD/CAD aims to revisit 1.3042/38 multiple support zone during early Friday.

Not only the strength of the horizontal rest-region that confine the quote’s declines during last-week but oversold levels of 14-day relative strength index (RSI) also questions bears.

If at all sellers refrain from respecting 1.3038 support-zone, late-October 2018 low near 1.2970 and 1.2890/85 regions including August and September 2018 bottoms can flash on their radar.

Alternatively, 61.8% Fibonacci retracement of the late-2018 swing low to an early year high, around 1.3116 offers immediate resistance to the pair ahead of highlighting 1.3144/51 resistance area.

It should also be noted that 21-day exponential moving average (EMA) at 1.3163 acts as an additional upside resistance for buyers to watch.

USD/CAD daily chart

Trend: Bearish

Additional important levels

Overview
Today last price	1.3049
Today Daily Change	-24 pips
Today Daily Change %	-0.18%
Today daily open	1.3073

Trends
Daily SMA20	1.3283
Daily SMA50	1.3386
Daily SMA100	1.3352
Daily SMA200	1.3292

Levels
Previous Daily High	1.3092
Previous Daily Low	1.3042
Previous Weekly High	1.3147
Previous Weekly Low	1.3038
Previous Monthly High	1.3529
Previous Monthly Low	1.306
Daily Fibonacci 38.2%	1.3061
Daily Fibonacci 61.8%	1.3072
Daily Pivot Point S1	1.3046
Daily Pivot Point S2	1.3019
Daily Pivot Point S3	1.2996
Daily Pivot Point R1	1.3096
Daily Pivot Point R2	1.3119
Daily Pivot Point R3	1.3146

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.

EUR/USD remains offered below 1.1800, looks at US data

EUR/USD is still trading on the defensive in the latter part of Thursday’s session, while the US Dollar maintains its bid bias as investors now gear up for Friday’s key release of the PCE data, advanced Q4 GDP prints and flash PMIs.

GBP/USD bounces off monthly lows near 1.3430

GBP/USD is sliding in tandem with its risk-sensitive peers, drifting back towards the 1.3430 area, its lowest levels in the month. The move reflects a firmer Greenback, supported by another round of solid US data and a somewhat divided FOMC Minutes.

Gold drifts higher to near $5,000 on heightened US-Iran tensions

Gold price holds positive ground near $5,000 during the early Asian session on Friday. The precious metal edges higher as escalating tensions between the United States and Iran boost safe-haven demand. Traders brace for the preliminary reading of US Gross Domestic Product for the fourth quarter, the Personal Consumption Expenditures and the S&P Global Purchasing Managers Index data, which are due later on Friday.

XRP edges lower as SG-FORGE integrates EUR stablecoin on XRP Ledger

Ripple’s (XRP) outlook remains weak, as headwinds spark declines toward the $1.40 psychological support at the time of writing on Thursday.

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.

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.