#USDCAD @ 1.33149 USDCAD grinds higher after bouncing off the 100-DMA., @nehcap view: Limited recovery expected (Pivot Orderbook analysis)

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• USDCAD grinds higher after bouncing off the 100-DMA.
• Downbeat RSI, MACD conditions favor bears but multiple hurdle before 1.3200 challenge further downside.
• 50-DMA, monthly resistance line add to the upside filters.

The pair currently trades last at 1.33149.

The previous day high was 1.3361 while the previous day low was 1.3236. The daily 38.2% Fib levels comes at 1.3284, expected to provide support. Similarly, the daily 61.8% fib level is at 1.3313, expected to provide support.

USDCAD treads water around 1.3315, after bouncing off the two-month low surrounding the 100-DMA during early Tuesday morning in Asia.

That said, a clear downside break of the support-turned-resistance line from early August, around 1.3400 by the press time, keeps sellers hopeful.

Also keeping sellers hopeful are the downbeat Relative Strength Index (RSI), (located at 14), as well as the bearish MACD signals.

However, a daily closing below 1.3315 becomes necessary for the USDCAD bears to aim for the early September swing high, surrounding 1.3200.

Alternatively, the aforementioned resistance line, previous support near 1.3400, precedes the 50-DMA hurdle surrounding 1.3530 to challenge USDCAD bulls.

In a case where the USDCAD pair manage to stay firmer past 1.3530, a downward-sloping resistance line from October 13, close to 1.3730, will act as the last defense of the pair bears.

Following that, a run-up toward refreshing the yearly high, currently around 1.3980, can’t be ruled. Also acting as an upside filter is the 1.4000 psychological magnet.

Overall, USDCAD is likely to recover but the upside move appears tepid.

Trend: Limited recovery expected

Technical Levels: Supports and Resistances

USDCAD currently trading at 1.3315 at the time of writing. Pair opened at 1.3261 and is trading with a change of 0.41% % .

The pair is trading below its 20 Daily moving average @ 1.3595, below its 50 Daily moving average @ 1.3525 , above its 100 Daily moving average @ 1.3229 and above its 200 Daily moving average @ 1.2979

The previous day high was 1.3361 while the previous day low was 1.3236. The daily 38.2% Fib levels comes at 1.3284, expected to provide support. Similarly, the daily 61.8% fib level is at 1.3313, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.3211, 1.3161, 1.3086
• Pivot resistance is noted at 1.3336, 1.3411, 1.3461

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