USD/CAD Price Forecast: Steadies above June low as bears await 1.4000 breakdown
USD/CAD Price Forecast: Rebounds above 1.4050, constructive outlook prevails above 100-day SMA
USD/CAD threatened a breakout after the last Fed meeting but ultimately failed to leave the 1.4200 level behind. Since then,.
USD/CAD has recovered from this month's low after a sharp 1.7% pullback from the yearly high, but the advance is now beginning to show signs of exhaustion beneath a major confluence of resistance. Multiple technical studies converge just overhead, making this one of the most important inflection zones since the correction began.
Summary:USD/CAD traded near 1.4100 on Tuesday as traders awaited the Federal Reserve's policy decision. Falling crude oil prices continued to limit gains for the Canadian dollar despite a softer US dollar.
USD/CAD Price Forecast: Lower oil prices ensure further weakness for Canadian Dollar
Despite the Canadian dollar's recovery attempts in previous weeks, a renewed loss of strength against the U.S. dollar is becoming evident. This is reflected in USD/CAD, which has gained more than 0.2% over the last 2 trading sessions, including the close of last week and the first session of this week.
USD/CAD Price Forecast: Technical outlook remains constructive above 1.4000
USD/CAD Price Forecast: Softens below 1.4100, but bullish outlook stays intact above key support
The US Dollar to Canadian Dollar exchange rate is trading around 1.4082, little changed on the day after easing from levels above 1.42 earlier in July. The pair reached a monthly low near 1.4004, having previously climbed to a 2026 high around 1.4248 in June.
USD/CAD technical analysis shows the Canadian dollar stalling in a tight range after an eight of nine week rally, with a clean breakout now in focus. Michael Boutros, Senior Market Analyst at FOREX.com, walks through the USD/CAD setup across the weekly, daily, and four-hour charts and the levels that matter most.
USD/CAD recently printed out green bars earlier this week but the Canadian dollar is mounting a comeback that could resume the downside.