USD/CAD Price Analysis: Directs monthly support line break towards 200-bar SMA

• USD/CAD consolidates the previous day’s losses around 1.3260.
• Sustained break of short-term key support line, now resistance, dwindling MACD favor sellers.
• 100-bar SMA holds the key to the pair’s rise towards monthly’s high.

USD/CAD takes rounds to 1.3260 during Thursday’s Asian session. In doing so the Loonie buyers catch a breather after the pair broke an ascending trend line from September 04.

The downside move also gets support from the pair’s inability to hold the 100-bar SMA breakout as well as weak MACD signals.

Hence, USD/CAD traders are currently targeting the 200-bar SMA level of 1.3215 ahead of highlighting the 1.3200 threshold on their list.

Meanwhile, a corrective pullback beyond the immediate resistance line, at 1.3275 now, will be tamed by the 100-bar SMA level near 1.3300, if not then the monthly high of 1.3340 will be challenged.

Should USD/CAD bulls keep the reins past-1.3340, the previous month’s peak surrounding 1.3420 will be in the spotlight.

USD/CAD four-hour chart

Trend: Further downside expected