The currency pair climbs for a fourth session, nearing key resistance after retracing over half its recent pullback.
USD/CAD rose for a fourth straight session, trading near 1.3785 as bulls target the 200-day simple moving average around 1.3800. The pair broke above its short-term uptrend line, recovering more than half of its decline from multi-month highs to a seven-week low.
Prior to this rally, USD/CAD had pulled back from highs near 1.3850 in late July to a low of 1.3600 in mid-August. The 200-day SMA has acted as a critical resistance level in recent months, with the pair failing to sustain breaks above it since early 2024.
Market focus remains on the pair’s ability to close above the 1.3800 level, which could signal further upside momentum in the near term.