USDCAD breaks 200 hour MA, but finds support near a cluster of technical support | Forexlive

The USDCAD skimmed along the 200 hour moving average during the late Asian/early European hours before moving to the upside> That run to the upside stalled near the swing level at 1.35825 (see red numbered circles). There was a modest floor at that level that stalled the low on Tuesday and early Friday.

After holding resistance at 1.35825, the sellers took over and pushed below the 200 hour moving average. However, as the price approached the 100 day moving average currently at 1.3526 (blue overlay line), the 38.2% retracement of the move up from the April 14 low at 1.35268, and a swing area between 1.3521 and 1.3527, buyers leaned. The low price for the day reached just above that cluster of support at 1.35297.

Going forward it would take a move below the cluster support to increase the bearish price and after is looking toward the 50% retracement of the same move higher at 1.34835.

Taking a slightly broader look at the 4 hour chart below, the 1.36504 – 1.3665 area was home to a number of swing levels going all the way back to February 24 (see red numbered circles on the chart below) the high price last week stalled just above that level 1.36673.

If the price is to reverse back to the upside off of this support cluster area, moving into and through that swing area would take the price into the upper extreme area for 2023.