USDCAD Technical Analysis: Buyers Break 100-Hour MA Resistance

Break Above 100-Hour Moving Average

USDCAD buyers have successfully pushed the price above the 100-hour moving average (1.3768) for the first time since late November, breaking a series of five unsuccessful attempts. Currently, the price has risen to 1.3795, but faces significant resistance at the 1.3800 level and the falling 200-hour moving average at 1.38055.

Next Major Hurdle

While the breach of the 100-hour MA is a positive move for the bulls, they must break above the 1.3800 resistance for a real bullish reversal. The pair trades between the two moving averages, with the 100-hour providing support and the 200-hour serving as resistance.

Bullish Scenario

If buyers can overcome the 200-hour MA, targets include the 50% midpoint at 1.38394 and the 200-day moving average at 1.38678. However, any failure to maintain momentum and a return below the 100-hour MA would reignite bearish pressures, targeting the key support zone between 1.3720 and 1.3726.

Conclusion

While buyers show significant progress, confirmation of a sustainable breakout above key levels is essential, necessitating cautious monitoring of forthcoming price actions.