USD/CAD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- USD/CAD hovers near the pivot point at $1.38441, with key resistance at $1.38623.

- RSI at 58 indicates moderate bullish momentum, but watch for a potential reversal.

- 50 EMA at $1.37976 provides dynamic support, reinforcing the $1.37911 level.

The USD/CAD pair is trading near $1.38294, slightly down by 0.02% on the 4-hour chart. Currently, the pair remains below the pivot point at $1.38441, showing a neutral-to-bearish bias in the short term. Despite the minor decline, the pair is holding above key support levels, which could provide a bounce, though resistance areas will need to be tested for further upside momentum.

Immediate resistance is positioned at $1.38623, followed by $1.38821 and $1.39030. A successful break above these resistance levels could signal renewed bullish momentum. However, failure to breach these areas may result in further consolidation or a deeper pullback.

On the downside, immediate support is at $1.38120, with subsequent support levels at $1.37911 and $1.37691. The 50-day Exponential Moving Average (EMA), located at $1.37976, is acting as a dynamic support level and will be a critical indicator for traders to watch. A move below this EMA could lead to additional downside pressure.

The Relative Strength Index (RSI) is currently at 58, indicating that there is still room for upward movement, though momentum remains moderate.

In conclusion, the technical picture for USD/CAD remains mixed, with critical support and resistance levels providing the next directional cues.

USD/CAD - Trade Ideas

Entry Price – Sell Below 1.38365

Take Profit – 1.30148

Stop Loss – 1.30821

Risk to Reward – 1: 1.5

Profit & Loss Per Standard Lot = +$411/ -$262

Profit & Loss Per Mini Lot = +$41/ -$26