Home›Forex›Major Pairs›USDCAD tests falling 200-hour moving average near 1.40…

USDCAD tests falling 200-hour moving average near 1.4086

The pair’s rebound followed President Trump’s announcement of 50% tariffs on selected Canadian imports, which boosted the U.S. dollar versus the Canadian dollar.

Reported · Written up by our desk · Major Pairs

The USDCAD is pushing to fresh session highs and is testing a key technical inflection point, the falling 200-hour moving average around 1.40858. The level previously acted as a catalyst for a downside correction after the pair broke below it on July 8, leading to a steady decline that carried price to just above 1.4000.

Buyers regained control during the North American session when the pair broke back above the 100-hour moving average near 1.4041. The move accelerated after President Trump announced new 50% tariffs on selected Canadian imports late in the day, renewing concerns about U.S.-Canada trade relations and providing a fundamental lift to the U.S. dollar.

Forexlive reports that some profit-taking emerged during the European session, but the dip proved temporary. Additional support later came after U.S. Trade Representative Jamieson Greer defended the administration’s tariff strategy on CNBC, helping USDCAD push back toward the critical 200-hour moving average.

From a technical perspective, a decisive move above 1.40858, and the ability to hold there, would shift the near-term bias back toward buyers. If that resistance is cleared, the next resistance zone is between 1.41170 and 1.41488, while a renewed cap at the 200-hour average would keep the battle focused on support at the 100-hour moving average near 1.4041.

More like this

Sources