The USDCAD currency pair, trading at 1.32610, is experiencing increased buying interest, pushing it to a new high for the day. This comes after a decline yesterday from its highest point in two weeks. According to Nehcap’s perspective, there is not much potential for further gains.

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• USD/CAD picks up bids to refresh intraday high, reverses the previous day’s retreat from two-week top.

The pair currently trades last at 1.32610.

The previous day high was 1.3285 while the previous day low was 1.3239. The daily 38.2% Fib levels comes at 1.3257, expected to provide support. Similarly, the daily 61.8% fib level is at 1.3268, expected to provide resistance.

USD/CAD renews its intraday high near 1.3265 as the US Dollar picks up bids amid the early hours of Friday’s European session.

In doing so, the Loonie pair reverses the previous day’s U-turn from the highest levels in a fortnight. It should be noted that the quote marked the failure to cross the 21-DMA hurdle.

Hence, the latest recovery eyes another battle with the stated immediate DMA hurdle surrounding 1.3280.

It’s worth observing that the steady RSI (14) line and the MACD indicator’s strongest bullish signals since late May underpin hopes of the USD/CAD pair’s advances past the 21-DMA resistance of 1.3280.

In that case, the previous support line stretched from early February, close to 1.3350 at the latest, will be crucial to watch.

Should the Loonie pair manage to stay firmer past 1.3350, the bulls will retake control.

On the contrary, a convergence of the 10-DMA and previous resistance line from June 05, close to the 1.3200 round figure, puts a floor under the USD/CAD price for intraday.

Following that, the yearly low marked on Tuesday around 1.3115 and the 1.3000 round figure will be in the spotlight.

While the technical details are mostly favoring the Loonie pair buyers, it all depends upon today’s US Core Personal Consumption Expenditure (PCE) Price Index for May, also known as the Federal Reserve’s (Fed) favorite inflation gauge.

Also read: US PCE Preview: Three ways this inflation gauge impacts your income and summer plans

Trend: Limited upside expected

Technical Levels: Supports and Resistances

USDCAD currently trading at 1.3265 at the time of writing. Pair opened at 1.3252 and is trading with a change of 0.10% % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1.3279, 50 SMA 1.3428, 100 SMA @ 1.3496 and 200 SMA @ 1.3516.

The previous day high was 1.3285 while the previous day low was 1.3239. The daily 38.2% Fib levels comes at 1.3257, expected to provide support. Similarly, the daily 61.8% fib level is at 1.3268, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 1.3232, 1.3212, 1.3186
• Pivot resistance is noted at 1.3279, 1.3305, 1.3325

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