- USD/CAD works in a fall wedge pattern.
- The couple was able to find instant support at a falling wedge limit of 1.4100.
- Immediate resistance zone appears near the 9-day EMA of 1.4230. This is consistent with the upper limit of the falling wedge.
The USD/CAD pair surrenders its recent gains from the previous session, hovering around 1.4180 during Wednesday’s Asian trading hours. Technical analysis on the daily chart indicates a falling wedge pattern, which is a bullish formation suggesting a potential breakout to the upside.
Moreover, the 14-day Relative Strength Index (RSI) remains above the 30 mark, supporting the current bearish outlook. However, if the RSI drops below 30, it would signal oversold conditions, potentially indicating a forthcoming upward correction for the USD/CAD pair.
Despite this, the USD/CAD remains below the nine- and 14-day Exponential Moving Averages (EMAs), reflecting ongoing bearish sentiment and weak short-term price momentum, pointing to continued selling pressure.
On the downside, the pair could find immediate support near the lower boundary of the falling wedge, aligning with the psychological level of 1.4100. A break below this area would enhance the bearish bias, possibly driving the pair toward the three-month low of 1.3927, last seen on November 25.
To the upside, USD/CAD may face immediate resistance near the nine-day EMA at 1.4230, which coincides with the upper boundary of the falling wedge. The next obstacle lies at the 14-day EMA of 1.4263. A breakout above this key resistance zone could turn the bias bullish, potentially pushing the pair toward the psychological level of 1.4300.
USD/CAD Daily Chart Analysis: Key Levels and Trends
Canadian Dollar Price Update: Latest Trends and Forecast
The table below displays the percentage change of the Canadian Dollar (CAD) against various major currencies today. The Canadian Dollar showed the most weakness against the New Zealand Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.05% | -0.09% | -0.18% | -0.05% | -0.19% | -0.31% | -0.03% | |
| EUR | 0.05% | -0.04% | -0.11% | -0.01% | -0.15% | -0.26% | 0.01% | |
| GBP | 0.09% | 0.04% | -0.10% | 0.05% | -0.11% | -0.22% | 0.05% | |
| JPY | 0.18% | 0.11% | 0.10% | 0.11% | -0.03% | -0.16% | 0.12% | |
| CAD | 0.05% | 0.00% | -0.05% | -0.11% | -0.14% | -0.27% | 0.01% | |
| AUD | 0.19% | 0.15% | 0.11% | 0.03% | 0.14% | -0.12% | 0.16% | |
| NZD | 0.31% | 0.26% | 0.22% | 0.16% | 0.27% | 0.12% | 0.28% | |
| CHF | 0.03% | -0.01% | -0.05% | -0.12% | -0.01% | -0.16% | -0.28% |
