USD/CAD Sellers Stall as Key Technical Levels Hold Firm
USD/CAD bears failed a third straight test at the 100-hour moving average, while buyers keep defending the lower range boundary.
The USD/CAD currency pair is locked in a technical tug-of-war, with sellers repeatedly repelled at the falling 100-hour moving average near 1.41685 and buyers stubbornly defending support below — leaving neither side in clear control. The standoff has now stretched across multiple sessions, sharpening the focus on a handful of closely watched price levels that will likely determine the pair's next directional move.
Bearish momentum has been building on the surface: the 100-hour moving average turned away rally attempts on Wednesday, Thursday, and again during Monday's Asian session — three consecutive rejections that reinforce a short-term bearish technical bias. Yet sellers have been unable to capitalize. On Friday, the pair broke beneath the 1.41488 swing level and sliced through the 1.41297–1.41386 support zone — a region that held firm since a breakout above it on June 18 — only to see downside momentum evaporate near 1.41166 as buyers quickly re-entered.
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The same script played out again Monday. USD/CAD dipped to 1.41260, once more trading below that critical swing area, but sellers could not press the advantage. The subsequent bounce signals that dip-buyers remain active near the lower boundary of the recent range, preventing a clean technical breakdown despite repeated probes.
For the near-term outlook, 1.41488 is the first test bulls must clear. A sustained move back above that level would shift attention to the 100-hour moving average at 1.41685, and a decisive break above that barrier would hand buyers the momentum they need to meaningfully shift the bias. Until one side achieves a definitive break with follow-through, the pair appears destined to chop within this compressed range.
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