USD/CAD defends the third consecutive weekly gain at around 1.3685 during Friday’s Asian session. In doing so, the Loonie pair justifies the previous day’s bullish candlestick formation, as well as a rebound from the 13-day-old support line, amid the price-positive MACD signals.
With this, the quote is well-set to challenge the immediate hurdle, namely the weekly resistance line surrounding 1.3740, before aiming for the recently flashed multi-month high near 1.3835.
It’s worth noting that the 1.3800 could act as an extra resistance that could join the overbought RSI (14) to challenge the USD/CAD buyers.
If at all the pair remains firmer past 1.3835, the odds of witnessing a rally towards the 1.4000 psychological magnet can’t be ruled out.
Meanwhile, pullback moves need to provide a daily closing below the stated support line, near 1.3660 by the press time.
Even so, the 10-DMA level around 1.3560 could challenge the USD/CAD bears before giving them control.
Overall, USD/CAD remains on the bull’s radar but the upside momentum appears limited.
Trend: Further upside expected