USD/CAD Price Analysis: Dribbles inside weekly triangle around 1.3800
|- USD/CAD remains sidelined while snapping three-day uptrend inside an immediate symmetrical triangle.
- Sustained trading beyond the key moving averages, steady RSI favor buyers.
- Two-week-old resistance adds to the upside filters on the way to early 2020 levels.
USD/CAD treads water around 1.3800 while staying inside a four-day-old symmetrical triangle during Thursday’s Asian session. Even so, firmer RSI and the Loonie pair’s ability to stay beyond the key moving averages keep the buyers hopeful.
That said, the aforementioned triangle restricts the nearby USD/CAD moves between 1.3825 and 1.3785.
Also acting as the short-term trading filters is the 100-HMA and an upward-sloping resistance line from September 28, respectively near 1.3770 and 1.3855.
Given the increased optimism about the USD/CAD pair’s upside momentum, coupled with the multiple failures to cross the stated trend line hurdle, a clear break of 1.3855 won’t hesitate to challenge the 1.4000 psychological magnet. In doing so, the quote will aim for the levels marked during May 2020.
Alternatively, a downside break of the 1.3770 HMA support won’t be a warm welcome for the sellers as the 200-HMA level of 1.3708 will act as the last defense for the USD/CAD buyers.
USD/CAD: Hourly chart
Trend: Sideways
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