USD/CAD Price Analysis: Consolidates intraday losses around 1.3300 inside bearish triangle
- USD/CAD picks up bids to pare intraday losses after six-week downtrend.
- Bearish triangle, downbeat RSI (14) conditions challenge buyers.
- Late 2022 low could lure bears past 1.3290 immediate support.
- 200-HMA, weekly resistance line adds to the upside filters.
USD/CAD bounces off intraday low to 1.3310 as bears take a breather following the six-week south-run during Monday’s Asian session.
Even so, the Loonie pair remains inside a bearish triangle formation established since Wednesday. Adding strength to the bearish bias is the downbeat RSI (14) line.
As a result, the quote’s corrective bounce is less likely to overcome the immediate hurdle, namely the resistance line of the stated triangle near 1.3325.
Even if the USD/CAD buyers manage to cross the 1.3325 hurdle, the previous support line from January 13 and the 200-Hour Moving Average (HMA), respectively near 1.3360 and 1.3395, could challenge the upside momentum.
It’s worth observing that a one-week-old downward-sloping resistance line near 1.3430 acts as the last defense of the USD/CAD bears, a break of which could propel the quote towards the January 19 swing high near 1.3520.
Alternatively, a downside break of the stated triangle, close to 1.3290 by the press time, could direct USD/CAD sellers towards the November 2022 low surrounding 1.3225 ahead of challenging the 1.3200 round figure.
Overall, the USD/CAD bears are likely to keep the reins unless the price stays successfully beyond 1.3520.
USD/CAD: Hourly chart
Trend: Bearish