USD/CAD Is in an Oversold Region as Buyers Are Likely to Emerge

USD/CAD Is in an Oversold Region as Buyers Are Likely to Emerge

Key Resistance Levels: 1.4200, 1.4400, 1.4600
Key Support Levels: 1.3400, 1.3200, 1.3000

USD/CAD Price Long-term Trend: Bearish
The Loonie is likely to continue its downward move. The recent upward move has been repelled by the 21-day SMA. Presently, the pair is falling and has fallen to the low of 1.2690. The loonie may reach the low of 1.2620.

USD/CAD – Daily Chart

Daily Chart Indicators Reading:
The 50-day and the 21-day SMAs are sloping downward indicating the downtrend. The Loonie has fallen to level 43 of the Relative Strength Index period 14. It is below the centerline 50. A further downward move is likely.

USD/CAD Medium-term Trend: Bearish
On the 4-hour chart, the pair fell as the uptrend reaches the high of 1.2799. In the last 48 hours, the downward move has persisted. The overall trend has been bearish. The pair may resume upward if the price falls and reaches the low of 1.2620.

USD/CAD – 4 Hour Chart

4-hour Chart Indicators Reading
Presently, the SMAs are sloping northward indicating the uptrend. The Loonie has fallen below the 20% range of the daily stochastic. It is in a bearish momentum. The pair is still in the oversold region of the market. Buyers are likely to emerge.

General Outlook for USD/CAD
The USD/CAD is likely to continue its downward move as price faces rejection at the recent high. The price sometimes fluctuates as the market continues its downward move. In the previous price action, the pair fell and rebounded above 1.2650 on January 14.


Note: Learn2.Trade is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$100 Min Deposit
9.8
  • Award-winning Cryptocurrency trading platform
  • 14 Cryptoassets available to invest in
  • FCA & Cysec regulated
$200 Min Deposit
9.8
  • Trade top Cryptos such as Bitcoin, Litecoin and Ethereum plus more
  • Zero commissions and no bank fees on transactions
  • Around the clock service with support in 14 languages
$100 Min Deposit
8.5
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
9
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
9.8
Share with other traders!

Author : Azeez Mustapha

Avatar

Azeez Mustapha is an experienced author, trader, markets analyst, signals strategist, and funds-manager.