- February 23, 2021
- Posted by: Analysis Team
- Category: Forex News
- USD/CAD stays depressed near multi-month low, inside short-term symmetrical triangle.
- Sustained trading below key HMAs, trendline resistances favor sellers.
USD/CAD sellers attack 1.2600, currently around 1.2608, during the initial Asian session on Tuesday. In doing so, the quote remains depressed near the lowest level since April 2018, marked the previous day.
Although the immediate symmetrical triangle restricts short-term moves of the USD/CAD prices, the pair’s trading below 50 and 200-HMA, not to forget a downward sloping trend line from February 12, keep favoring the bears.
However, fresh declines await confirmation from the downside break of the stated triangle’s support, at 1.2595 now. The south-run may also get extra strength if successfully breaking below the latest low of 1.2580, also the 34-month bottom.
Following the quote’s sustained weakness past-1.2580, April 2018 low near 1.2525 and the 1.2500 round-figure will lure the USD/CAD sellers.
Meanwhile, 50-HMA joins the triangle’s resistance line to guard immediate upside moves around 1.2635, a break of which will accelerate the run-up towards a 200-HMA level of 1.2675.
In a case USD/CAD bulls remain dominant past-1.2675, the 1.2700 threshold and a short-term resistance line around 1.2715 will be the key upside hurdles to watch.
USD/CAD HOURLY CHART