Key Moments
- USD/CAD has risen for five consecutive sessions and is trading around 1.3870 during European hours on Thursday.
- The pair is holding above both the nine-day and 50-day EMAs, with the 14-day RSI at 60.8, indicating strengthening bullish momentum.
- A sustained move above the 1.3870 resistance area could open the way toward the recent six-week high at 1.4014, while a drop below 1.3730 would undermine the current bullish structure.
Technical Overview: Uptrend Pressures Channel Resistance
USD/CAD is extending its advance for a fifth straight session, trading close to 1.3870 during the European session on Thursday. On the daily chart, price action is pressing against the upper boundary of an ascending channel, signaling the potential for an upside breakout.
Momentum indicators are supporting the bullish tone. The 14-day Relative Strength Index (RSI) stands at 60.8 in bullish territory and is moving higher, highlighting firm positive momentum behind the recent gains.
Moving Averages Support a Bullish Bias
The pair is trading above both the nine-day Exponential Moving Average (EMA) and the 50-day EMA, reinforcing a topside bias. The short-term EMA is sloping upward, while the medium-term EMA has begun to turn slightly higher, indicating an improving alignment in favor of buyers.
Holding daily closes above the 50-day EMA, currently at 1.3845, would keep bulls in control and maintain attention on higher levels. A sustained break above the confluence of resistance near the medium-term EMA and the upper ascending channel boundary around 1.3870 would further strengthen upside momentum and could pave the way for a move toward the six-week high at 1.4014, which was registered on December 2.
Key Support Levels and Downside Risks
On the downside, a reversal below the nine-day EMA at 1.3788 would likely slow the advance and shift focus back to nearby support levels. Remaining above this short-term average would keep the broader bullish path intact.
Additional support is located near the lower boundary of the ascending channel, around 1.3730. A break beneath this area would weaken the prevailing bullish bias and could increase downside pressure, exposing the pair to a potential retest of the five-month low at 1.3642, recorded on December 26.
USD/CAD: Daily Chart
USD/CAD is trading within an ascending channel on the daily timeframe, with price currently probing the upper boundary while staying above key moving averages and maintaining positive momentum, as reflected by the rising RSI.
Canadian Dollar Performance Against Major Currencies
The table below presents the percentage changes of the Canadian Dollar (CAD) versus major currencies today. According to this snapshot, the Canadian Dollar has been strongest against the Australian Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.01% | 0.07% | -0.14% | 0.15% | 0.33% | 0.31% | -0.02% | |
| EUR | 0.01% | 0.08% | -0.09% | 0.18% | 0.34% | 0.33% | -0.01% | |
| GBP | -0.07% | -0.08% | -0.19% | 0.08% | 0.27% | 0.25% | -0.09% | |
| JPY | 0.14% | 0.09% | 0.19% | 0.26% | 0.46% | 0.41% | 0.09% | |
| CAD | -0.15% | -0.18% | -0.08% | -0.26% | 0.19% | 0.17% | -0.17% | |
| AUD | -0.33% | -0.34% | -0.27% | -0.46% | -0.19% | -0.01% | -0.35% | |
| NZD | -0.31% | -0.33% | -0.25% | -0.41% | -0.17% | 0.01% | -0.34% | |
| CHF | 0.02% | 0.01% | 0.09% | -0.09% | 0.17% | 0.35% | 0.34% |
The heat map reflects percentage changes between major currencies. The base currency is taken from the left-hand column, and the quote currency from the top row. For example, selecting the Canadian Dollar as the base currency on the left and the US Dollar on the top row shows the percentage change for CAD (base)/USD (quote) in the corresponding cell.
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