|

USD/CAD Price Forecast: Tests 1.4400; next barrier appears near multi-year highs

  • USD/CAD could test 1.4518, the highest level since March 2020.
  • The bullish bias persists, as the 14-day RSI stays above the 50 mark.
  • Initial support for the pair is provided by the nine-day EMA at the 1.4377 level.

The USD/CAD pair continues its upward trend for the third consecutive session, hovering around 1.4390 during Thursday’s Asian trading hours. Technically, the daily chart shows the pair moving within an ascending channel, suggesting a prevailing bullish outlook.

The 14-day Relative Strength Index (RSI) remains just above the 50 mark, indicating sustained positive momentum. A sustained RSI above 50 would likely reinforce this bullish sentiment.

Additionally, the USD/CAD pair trades slightly above the nine- and 14-day Exponential Moving Averages (EMAs), further emphasizing the bullish trend and strong short-term price action. This alignment points to robust buying interest and signals the possibility of additional upward movement.

On the upside, the USD/CAD pair tests the psychological level of 1.4400, remaining poised to test 1.4518, its highest point since March 2020, reached on January 21. Further resistance is seen at the upper boundary of the ascending channel, close to the key psychological level of 1.4800.

Initial support is found around the nine-day EMA at 1.4377, followed by the 14-day EMA at 1.4374, which coincides with the lower boundary of the ascending channel.

USD/CAD: Daily Chart

(This story was corrected on January 23 at 08:00 GMT to say, in the first bullet and the fourth paragraph, that the pair could test 1.4518, the highest level since March 2020, not the 1.4485 level.)

Canadian Dollar PRICE Today

The table below shows the percentage change of Canadian Dollar (CAD) against listed major currencies today. Canadian Dollar was the weakest against the Swiss Franc.

 USDEURGBPJPYCADAUDNZDCHF
USD 0.03%0.01%-0.02%0.01%-0.01%-0.01%-0.03%
EUR-0.03% -0.02%-0.08%-0.02%-0.05%-0.05%-0.07%
GBP-0.01%0.02% -0.04%0.00%-0.03%-0.02%-0.05%
JPY0.02%0.08%0.04% 0.04%0.02%-0.03%-0.01%
CAD-0.01%0.02%-0.00%-0.04% -0.02%-0.03%-0.05%
AUD0.01%0.05%0.03%-0.02%0.02% 0.00%-0.02%
NZD0.01%0.05%0.02%0.03%0.03%-0.00% -0.02%
CHF0.03%0.07%0.05%0.01%0.05%0.02%0.02% 

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Canadian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent CAD (base)/USD (quote).

Author

Akhtar Faruqui

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

More from Akhtar Faruqui
Share:

Editor's Picks

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.

Crypto Today: Bitcoin, Ethereum, XRP rebound as risk appetite improves

Bitcoin rises marginally, nearing the immediate resistance of $68,000 at the time of writing on Friday. Major altcoins, including Ethereum and Ripple, hold key support levels as bulls aim to maintain marginal intraday gains.

Week ahead – Markets brace for heightened volatility as event risk dominates

Dollar strength dominates markets as risk appetite remains subdued. A Supreme Court ruling, geopolitics and Fed developments are in focus. Pivotal Nvidia earnings on Wednesday as investors question tech sector weakness.

Ripple bulls defend key support amid waning retail demand and ETF inflows

XRP ticks up above $1.40 support, but waning retail demand suggests caution. XRP attracts $4 million in spot ETF inflows on Thursday, signaling renewed institutional investor interest.