USD/CAD Price Analysis: Nears 200-HMA support, CAD bucks uptrend in commodity dollars
- USD/CAD could suffer deeper losses if the 200-hour average support is breached.
- CAD is losing altitude amid an uptick in other commodity dollars.
USD/CAD is flashing red at press time and trading close to the 200-hour moving average support (HMA) at 1.3279.
The RSI on the hourly and 4-hour charts has dipped into a bearish territory below 50. So, if the 200-HMA support is breached, deeper losses toward the 200-day moving average at 1.3224 could be seen.
However, if the pair bounces from the ascending or bullish 10-day average at1.3275, the case for an extended pullback would weaken and the bulls may have another go at 1.3330 (Monday's high).
It's worth noting that the Canadian dollar is reporting losses in Asia despite the uptrend in other major commodity dollars - NZD and AUD.
The NZD/USD pair is currently trading at 0.6468, representing a 1% gain on the day, while the AUD/USD pair is hovering at 0.6732, up 0.27% on the day.
The NZD picked up a bid after the Reserve Bank of New Zealand (RBNZ) kept rates unchanged and gave no hint of an imminent rate cut in the policy statement.