Headline: USD/CAD Reclaims 1.4000 as Traders Focus on Key Technical Barriers
The US dollar to Canadian dollar currency pair is back above the 1.4000 handle after a choppy 24 hours driven by technical levels. Sellers briefly forced a break lower, but buyers defended the 61.8% Fibonacci retracement at 1.39837, prompting a swift rebound and restoring the near-term bullish tone.
Price action first slipped under 1.4000 in the North American session, but the decline stalled just ahead of the 61.8% retracement of the late-October advance, with the low printing around 1.39840. During Asian trade, USD/CAD nudged back above the 50% midpoint at 1.40135 before sellers capped the move and forced a retest of support. Renewed demand near 1.39837 then drove the pair back over 1.4000, where it currently holds.
Immediate resistance is layered at 1.40135 (50% retracement) and the falling 100-hour moving average near 1.40208, a topside hurdle that needs to give way to sustain further gains. On the downside, 1.4000 remains a pivotal pivot; a decisive break back below would refocus attention on 1.39837, where dip buyers have been active. Until a clear breakout develops, USD/CAD is likely to remain sensitive to these tight technical bands, with momentum shifting as the pair oscillates around the round-number level.
Key Points – USD/CAD reclaimed the 1.4000 level after buyers defended 1.39837 (61.8% Fibonacci retracement). – Intraday resistance is set at 1.40135 (50% midpoint) and 1.40208 (falling 100-hour moving average). – A sustained break above the 100-hour MA would strengthen the bullish case. – Failure back below 1.4000 would put 1.39837 back in focus as key support. – Recent price swings highlight range-bound conditions centered on the 1.4000 pivot.
