USD/CAD is clinging to key horizontal support around 1.3780 after a recent sharp decline:
The bounce may offer a short-term reprieve, but unless bulls reclaim trend-defining moving averages, the bears remain in control.
-MW
- Support Retest: Price briefly dipped below the 1.3780 area before buyers stepped in, forming a potential short-term base.
- Downtrend Intact: Price remains well below both the 50- and 200-day SMAs, which are beginning to fan out—an increasingly bearish configuration.
- Momentum Weak: MACD is negative and RSI is hovering just above oversold territory (~38), suggesting continued bearish pressure despite the bounce.
- Critical Levels: A break below 1.3780 could open the door to 1.3420 (October support), while upside recovery would need a move above the 200-day (~1.40) to shift the broader tone.
The bounce may offer a short-term reprieve, but unless bulls reclaim trend-defining moving averages, the bears remain in control.
-MW
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.