USD/CAD Price Forecast: Falls to near 1.3550 after breaking below the ascending channel

FXStreetSep 19, 2024 8:48 AM

  • The USD/CAD pair may depreciate further as it has breached below the lower boundary of the ascending channel.
  • The emergence of the bearish trend could push the pair to navigate the region around its six-month low of 1.3441.
  • The immediate barrier appears at the nine-day EMA at 1.3574 level and the 14-day EMA at 1.3576 level.


USD/CAD trades around 1.3550 during Thursday’s European hours. Analysis of the daily chart suggests a weakening of the bullish bias for the USD/CAD pair, as it has breached below the lower boundary of the ascending channel pattern.

Additionally, the 14-day Relative Strength Index (RSI) remains below the 50 level, confirming the bearish trend in play. Moreover, the nine-day Exponential Moving Average (EMA) is below the 14-day EMA, it indicates a weakening in the USD/CAD pair’s momentum.

On the downside, a break below the lower boundary of the ascending channel and the nine-day and the 14-day EMAs has triggered a bearish trend, potentially pressuring the USD/CAD pair to navigate the region around its six-month low of 1.3441, recorded on August 28.

Regarding the upside, the immediate barrier appears at the nine-day EMA at 1.3574 level, aligned with the 14-day EMA at 1.3576 level. A return to the ascending channel may reinforce the bullish bias and support the USD/CAD pair to test the "throwback support turns into a pullback resistance" level of 1.3590, followed by the psychological level of 1.3600.

USD/CAD: Daily Chart

Canadian Dollar PRICE Today

The table below shows the percentage change of Canadian Dollar (CAD) against listed major currencies today. Canadian Dollar was the strongest against the Japanese Yen.

 

USD

EUR

GBP

JPY

CAD

AUD

NZD

CHF

USD

 

-0.39%

-0.35%

0.27%

-0.41%

-0.95%

-0.81%

-0.02%

EUR

0.39%

 

0.04%

0.67%

-0.01%

-0.53%

-0.42%

0.38%

GBP

0.35%

-0.04%

 

0.64%

-0.06%

-0.59%

-0.47%

0.32%

JPY

-0.27%

-0.67%

-0.64%

 

-0.67%

-1.21%

-1.12%

-0.31%

CAD

0.41%

0.01%

0.06%

0.67%

 

-0.54%

-0.40%

0.38%

AUD

0.95%

0.53%

0.59%

1.21%

0.54%

 

0.13%

0.92%

NZD

0.81%

0.42%

0.47%

1.12%

0.40%

-0.13%

 

0.80%

CHF

0.02%

-0.38%

-0.32%

0.31%

-0.38%

-0.92%

-0.80%

 

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).

Reviewed byTony
Disclaimer: The content of this article solely represents the author's personal opinions and does not reflect the official stance of Tradingkey. It should not be considered as investment advice. The article is intended for reference purposes only, and readers should not base any investment decisions solely on its content. Tradingkey bears no responsibility for any trading outcomes resulting from reliance on this article. Furthermore, Tradingkey cannot guarantee the accuracy of the article's content. Before making any investment decisions, it is advisable to consult an independent financial advisor to fully understand the associated risks.

Related Instruments

* References, analysis, and trading strategies are provided by the third-party provider, Trading Central, and the point of view is based on the independent assessment and judgement of the analyst, without considering the investment objectives and financial situation of the investors.
Risk Warning: Our Website and Mobile App provides only general information on certain investment products. Finsights does not provide, and the provision of such information must not be construed as Finsights providing, financial advice or recommendation for any investment product.
Investment products are subject to significant investment risks, including the possible loss of the principal amount invested and may not be suitable for everyone. Past performance of investment products is not indicative of their future performance.
Finsights may allow third party advertisers or affiliates to place or deliver advertisements on our Website or Mobile App or any part thereof and may be compensated by them based on your interaction with the advertisements.
© Copyright: FINSIGHTS MEDIA PTE. LTD. All Rights Reserved.