USD/CAD Price Forecast: Hits 14-month highs above 1.4150 as bullish bias prevails
USD/CAD holds ground for the seventh consecutive day, trading around 1.4140 during the European hours on Friday. The technical analysis of the daily chart indicates the pair is moving upwards within the ascending channel pattern, signaling a persistent bullish bias.
The USD/CAD pair is retaining a bullish near-term bias as it holds well above both the nine-day and 50-day Exponential Moving Averages (EMAs). The steeply overbought reading in the 14-day Relative Strength Index near 85, however, hints that upside momentum could be stretched even as the broader structure remains supported.
The USD/CAD pair reached a 14-month high of 1.4159 on June 19, aligned with the upper boundary of the ascending channel. A sustained break above this confluence resistance zone would open the door for further gains.
The initial support lies at the nine-day EMA of 1.4038. A break below the short-term price average would weaken the price momentum and put downward pressure on the pair to test the lower boundary of the ascending channel around 1.3940. Further declines would explore the region around the 50-day EMA at 1.3850.
(The technical analysis of this story was written with the help of an AI tool.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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