USDCAD recently redirected back under the mid-Bollinger band and the 50-day simple moving average (SMA), after its progress was curbed by the 100-day SMA and upper Bollinger band. The slipping 50- and 100-day SMAs continue to back the prevailing negative picture.
The short-term oscillators mirror the strength in negative momentum, keeping the bias negative. The MACD, in the positive region, has slipped below its red signal line and is nearing its zero mark, while the downward-sloping RSI continues falling in the bearish section. Moreover, in the oversold territory, the stochastic %K line is sinking further under its red %D line, endorsing additional weakness in the pair.
To the downside, early support may originate from the 1.3126 barrier and the adjacent lower Bollinger band. If selling interest were to continue, the near eight-month bottom of 1.2993 and neighbouring 1.2950 crucial barrier – stretching back to December 31 – could challenge the