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USD/CAD Technical Analysis: Bears back in action amid surging oil prices, now targeting 1.3500 mark

   •  Having failed to make it through the 1.3660 region, the pair witnessed a sudden turnaround and tumbled to over one-week lows in the last hour.

   •  A sharp short-covering rally in crude oil prices underpinned Loonie and turned out to be one of the key factors prompting aggressive long-unwinding.

   •  In the process, the pair confirmed a bearish breakthrough 200-hour SMA and a rectangular chart pattern - the post-Christmas consolidation phase.

   •  Meanwhile, technical indicators on the 1-hourly chart are already pointing to slightly oversold conditions and might limit further losses, at least for now.

   •  However, oscillators on the 4-hourly chart have just started gaining negative momentum and also losing traction on the daily chart, pointing to bearish set-up.

   •  Hence, any attempted bounce is likely to get sold into and a subsequent fall, towards the key 1.3500 psychological mark, now looks a distinct possibility.

USD/CAD 1-hourly chart

USD/CAD

Overview:
    Today Last Price: 1.3541
    Today Daily change: -41 pips
    Today Daily change %: -0.302%
    Today Daily Open: 1.3582
Trends:
    Previous Daily SMA20: 1.3523
    Previous Daily SMA50: 1.3328
    Previous Daily SMA100: 1.3171
    Previous Daily SMA200: 1.307
Levels:
    Previous Daily High: 1.3664
    Previous Daily Low: 1.3568
    Previous Weekly High: 1.4134
    Previous Weekly Low: 1.3564
    Previous Monthly High: 1.4134
    Previous Monthly Low: 1.316
    Previous Daily Fibonacci 38.2%: 1.3605
    Previous Daily Fibonacci 61.8%: 1.3627
    Previous Daily Pivot Point S1: 1.3546
    Previous Daily Pivot Point S2: 1.351
    Previous Daily Pivot Point S3: 1.3451
    Previous Daily Pivot Point R1: 1.3641
    Previous Daily Pivot Point R2: 1.37
    Previous Daily Pivot Point R3: 1.3736

 

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