USDCAD technical evaluation: Sellers lean towards resistance. Push decrease.

The USDCAD surged to contemporary highs following President Trump’s announcement of a sweeping 35% tariff on Canadian imports—among the many most aggressive commerce measures for main nations. That information initially triggered heavy CAD promoting. Nonetheless, the momentum shifted after a softer-than-expected U.S. jobs report did not maintain the upside drive.

In response, USDCAD reversed sharply decrease, breaking again beneath the 100-day shifting common (at present at 1.28128). It additionally slipped beneath the 100-hour shifting common, signaling a shift in near-term management. The draw back transfer briefly examined a key swing space between 1.3749 and 1.3759 earlier than bouncing into the shut. That rebound tried a retest of the 100-day MA, however patrons couldn’t break by.

At this time’s worth motion has been uneven, however with a bearish tilt. At session highs, the pair stalled proper on the Might 2025 excessive of 1.37969, reinforcing resistance at that degree. Value is now oscillating across the June excessive of 1.37735, missing conviction in both route till the final hour or so, with the pair dipping to new lows. The newest dip simply tagged the higher boundary of the 1.3749–1.3759 swing zone. A decisive break beneath 1.3749 would open the door towards the rising 200-hour shifting common at 1.3738.

Backside line: The market is at a technical crossroads. So long as the worth holds beneath the 100-day MA and nearer the Might excessive at 1.37969 and June excessive at 1.3773, the chance stays tilted to the draw back. A break beneath 1.3749 would strengthen that bearish case, with the ultimate hurdle the 200 hour MA .

This text was written by Emma Wang at investinglive.com.