USD/CAD technical analysis: 1.3145/50, 4H 200MA question buyers

• Overbought RSI conditions can trigger the USD/CAD pair’s pullback from key resistances.
• Bears await a sustained break of 1.3015 to aim for late-2018 lows.

Despite recovering from the multi-month low, the USD/CAD pair remains below near-term key resistances as it takes the rounds to 1.3130 during the early Asian session on Tuesday.

Late-June low and multiple highs marked during the current month portray 1.3145/50 as the closest upside barrier ahead of highlighting 200-bar moving average (4H 200MA), at 1.3168 now.

If at all buyers manage to cross 1.3168 resistance, June 21 high around 1.3230 could be on their radar.

Given the overbought conditions of 14-bar relative strength index (RSI), the quote is likely to witness a pullback from important resistances.

In doing so, 1.3100 may act as adjacent support ahead of highlighting the latest low of 1.3015 that holds the key for the pair’s downpour to late-October 2018 low near 1.2970.

USD/CAD 4-hour chart

Trend: Pullback expected