#USDCAD @ 1.38323 seesaws around the top line of a one-month-old bullish channel., @nehcap view: Limited upside expected (Pivot Orderbook analysis)

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• USD/CAD seesaws around the top line of a one-month-old bullish channel.
• Clear upside break of the multi-day-old horizontal resistance, upbeat MACD signals favor buyers.
• 100-DMA, ascending trend line from last November act as the key supports.

The pair currently trades last at 1.38323.

The previous day high was 1.3837 while the previous day low was 1.3753. The daily 38.2% Fib levels comes at 1.3805, expected to provide support. Similarly, the daily 61.8% fib level is at 1.3785, expected to provide support.

USD/CAD traces dicey markets as it makes rounds to 1.3825-35 during early Friday.

In doing so, the Loonie pair buyers struggle to cheer the previous day’s upside break of an important horizontal resistance area comprising multiple tops marked since late September 2022. The reason could be linked to the overbought RSI (14), as well as the cautious mood ahead of the key US and Canada employment report for February.

Also read: USD/CAD retreats towards 1.3800 as Oil bears take a breather, US/Canada employment data eyed

That said, the USD/CAD dribbles near the top line of a one-month-old ascending trend channel, close to 1.3860 by the press time, as the bullish MACD signals join the previous day’s clear break of the key upside hurdle surrounding 1.3805-15.

As a result, the bulls are likely to keep the reins and may overcome the immediate 1.3860 hurdle, however, the tops marked during October 14 and 17 of the last year, near 1.3885, as well as the 1.3900 threshold, could challenge the pair’s further upside.

In a case where the USD/CAD price remains firmer past 1.3900, the previous yearly high surrounding 1.3980 and the 1.4000 psychological magnet will be in focus.

On the contrary, bears remain off the table unless the USD/CAD price remains within the stated channel, currently between 1.3650 and 1.3860. It should be observed that the aforementioned horizontal resistance-turned-support near 1.3805-15 and the 1.3800 round figure limits the quote’s immediate downside

Even if the USD/CAD bears manage to conquer the 1.3650 support, the 100-DMA and a four-month-old ascending trend line, respectively near 1.3500 and 1.3280, will be crucial for them to watch.

Trend: Limited upside expected

Technical Levels: Supports and Resistances

USDCAD currently trading at 1.3829 at the time of writing. Pair opened at 1.3833 and is trading with a change of -0.03% % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 1.3552, 50 SMA 1.3474, 100 SMA @ 1.3502 and 200 SMA @ 1.3307.

The previous day high was 1.3837 while the previous day low was 1.3753. The daily 38.2% Fib levels comes at 1.3805, expected to provide support. Similarly, the daily 61.8% fib level is at 1.3785, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.3778, 1.3723, 1.3694
• Pivot resistance is noted at 1.3863, 1.3892, 1.3947

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