USDCAD technicals: Bearish bias Intact as Key MA levels are broken | Forexlive

The bearish bias in USDCAD remains intact as key technical levels continue to be broken. The price has fallen below the 100-hour moving average (1.44025), the 200-hour moving average (1.4384), and a key swing area around 1.4366. Additionally, the pair has slipped below the 50% retracement level at 1.4345, reinforcing downside pressure.

The next support levels to watch include the 61.8% retracement level at 1.4299, which could serve as a key downside target. Below that, earlier this month, the price attempted to break below a swing area (see green numbered circles) lower on March 6 (between 1.4268 to 1.42789) but stalled, failed, based and rebounded strongly on March 7, coinciding with employment data in the US and Canada.

However, the failure to sustain bullish momentum toward the March high at last week’s highs (on Tuesday) has led to a shift back toward a bearish trend.

For sellers to maintain control, the pair must stay below the broken 200/100 hour MA level at 1.4383 adn 1.4402 respectively. That is the key area to start the week on the topside. A break back above these levels would shift the short-term outlook to neutral/bullish, while continued selling pressure could drive USDCAD toward lower retracement zones and swing level targets.