USD/CAD Bearish Signals Persist as Pair Struggles Below Key Resistance Zone

The USD/CAD currency pair is currently trading under bearish technical conditions. As of this week, the pair has been below its 50-day moving average and the Relative Strength Index (RSI) is near oversold territory.

This suggests that sellers maintain control in the short term.

The immediate support level for the pair sits at 1.3500, followed by the 200-day moving average at 1.3450. On the upside, resistance is capped at the 1.3600-1.3620 zone, which aligns with the 50-day moving average and a previous swing low.

Firm oil prices have provided some support to the Canadian dollar, as Canada is a major crude exporter. However, the US dollar is under pressure due to expectations of interest rate cuts by the Federal Reserve later this year.