USDCAD 100-hour MA remained the key barrier on Monday as the pair rose on the day but stayed below 1.4051.
Last week, USDCAD fell below its 100-hour and 200-hour moving averages. That move shifted the near-term bias toward sellers. The pair also broke under the mid-July low near 1.4000 and touched 1.3990.
However, the drop stopped just above the 38.2% retracement of the move from the May 1 low to the June high. That level stands at 1.39812. Sellers failed to break and hold below that mark last week.
USDCAD 100-Hour MA Holds as Resistance
Friday brought a rebound, but those gains later faded. The pair then turned lower again and closed back near 1.4000. Meanwhile, early Asia-Pacific trading on Monday found support at 1.40005, which helped trigger another bounce.
Buyers have not yet retaken the falling USDCAD 100-hour MA at 1.4051. To improve the short-term picture, they also need to clear the 200-hour moving average at 1.40709. Until then, resistance remains in place.
Support Near 1.4000 Stays in Focus
For now, support continues to hold near 1.4000. Resistance, however, is still defined by the falling 100-hour moving average at 1.4051. As a result, the pair remains trapped between a clear floor and ceiling.
Traders are now watching for a break on either side of that range. If price moves beyond those levels, momentum may shape the next directional move.
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Source: InvestingLive
