USDCAD Technical Update

2025-12-10 · Forex · QuoteReporter

USDCAD Technical Update

Published: December 10, 2025

Technical Analysis

1. Market Overview:
The USDCAD pair is currently trading at 1.38497. The pair is experiencing a downtrend in the short, medium, and long term.

2. Trend Analysis:
The short-term trend, as compared to the 21-day moving average (MA21), indicates a downtrend as the current price is below the MA21 of 1.39913. The same is observed in the medium-term trend compared to the 50-day moving average (MA50), where the current price is below the MA50 of 1.40026. The long-term trend compared to the 200-day moving average (MA200) also shows a downward trend with the current price being below the MA200 of 1.39020.

3. Support and Resistance Analysis:
Support 1, at 1.37935, is the closest support level below the current price. Support 2 and 3 are at 1.37776 and 1.37019 respectively. As these supports are below the current price, they represent potential downside targets or turnaround points if the price continues to drop.

On the other hand, Resistance 1 at 1.39629 is the first potential hurdle the price must overcome to start an upward movement. Resistance 2 at 1.41028 and Resistance 3 at 1.41334 are the subsequent levels that need to be surpassed for a continued uptrend.

The most critical level for traders to watch is Support 1 and Resistance 1, as they are the closest to the current price.

4. Fibonacci Level Analysis:
The Fibonacci retracement levels drawn from the high of 1.47914 to the low of 1.35386 show that the current price is just above the 23.6% level at 1.38343 which now acts as a support. If the price breaks below this level, the next support is at the 0% Fibonacci level at 1.35386.

The 38.2% retracement level at 1.40172 is the closest resistance which aligns closely with the MA50 and MA200, potentially forming a significant resistance zone.

5. Overall Technical Outlook:
The overall technical outlook for the USDCAD pair is bearish. This is due to the fact that the price is below all the moving averages (MA21, MA50, and MA200), and it’s also in a downtrend in the short, medium, and long-term periods. Moreover, the price is just above the 23.6% Fibonacci level, and a break below this level could trigger more selling pressure. Therefore, unless the pair can break above the Resistance 1 level at 1.39629, the bearish outlook remains.

Fibonacci Retracement Levels