#USDCAD @ 1.33708 consolidates the biggest daily slump in over a month., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• USD/CAD consolidates the biggest daily slump in over a month.
• 61.8% Fibonacci retracement triggers corrective bounce amid oversold RSI.
• 200-HMA joins sluggish MACD signals to probe Loonie pair buyers.

The pair currently trades last at 1.33708.

The previous day high was 1.3472 while the previous day low was 1.3338. The daily 38.2% Fib levels comes at 1.3389, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.3421, expected to provide resistance.

USD/CAD retreats from intraday high as buyers struggle to overcome the key Hourly Moving Average (HMA) during early Monday in Europe. Even so, the Loonie pair prints 0.20% intraday gains around 1.3375 as it pares the heaviest daily loss in five weeks, marked the previous day.

The quote’s recovery could be linked to its bounce off the 61.8% Fibonacci retracement level of February 02-06 upside amid the oversold RSI (14) conditions.

However, the 200-HMA level challenges the USD/CAD pair’s immediate upside near 1.3385.

Given the bullish MACD signals, despite being sluggish of late, the Loonie pair may remain on the bull’s radar, suggesting a clear break of the immediate HMA hurdle surrounding 1.3385.

Following that, 1.3415 may test the upside momentum before directing the USD/CAD bulls toward the two-week-old horizontal resistance area near 1.3470.

In a case where USD/CAD remains firmer past 1.3470, it can aim for a late January swing high near 1.3520.

Alternatively, the 61.8% Fibonacci retracement level, also known as the golden Fibonacci ratio, puts a floor under the USD/CAD prices of around 1.3340, a break of which highlights the 1.3300 round figure for the bears.

Should USD/CAD breaks the 1.3300 round figure, the monthly low and November 2022 trough, respectively near 1.3260 and 1.3225, will gain the market’s attention.

Trend: Further downside expected

Technical Levels: Supports and Resistances

USDCAD currently trading at 1.3374 at the time of writing. Pair opened at 1.3345 and is trading with a change of 0.22% % .

The pair is trading below its 20 Daily moving average @ 1.3386, below its 50 Daily moving average @ 1.3492 , below its 100 Daily moving average @ 1.3533 and above its 200 Daily moving average @ 1.3236

The previous day high was 1.3472 while the previous day low was 1.3338. The daily 38.2% Fib levels comes at 1.3389, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.3421, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 1.3298, 1.3251, 1.3164
• Pivot resistance is noted at 1.3432, 1.3519, 1.3566

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