USD/CAD Price Analysis: Buying tails at the 20-EMA justifies a continuation of the uptrend
The 20-EMA around approximately 1.3080 has performed as strong support for the counter. The bearish market sentiment supports the dollar bulls. The asset may challenge October high at 1.3978 after overstepping the round-level hurdle of 1.3900.

The USD/CAD pair is attempting to re-test the crucial 1.3811 level as the risk-off market sentiment has intensified. S&P500 futures have exacerbated their losses in Tokyo following two consecutive bearish trading sessions, which implies that the risk aversion theme will stay for a while.
In Asia, the US dollar index (DXY) has surpassed the round-level resistance at 113.00 as a result. In addition, 10-year US Treasury rates have shown no signs of weariness despite a meteoric rise to near 4.23 percent.
On a daily scale, the asset has stayed in the grip of bulls after surpassing the upward-sloping trendline created from May 12 high at 1.3077. The formation of purchasing tails following a pullback to around the 20-period Exponential Moving Average (EMA) at approximately 1.3680 implies that the corrective move is over now and the asset will resume its bullish ride.
In addition, the 50-EMA's upward trend at 1.3445 suggests that the upside bias remains intact.
After holding in the positive range of 60.00-80.00, the Relative Strength Index (RSI) (14) tested the region of 40.00-60.00. The momentum oscillator could re-enter the positive zone upon completion of the corrective move.
A break over Wednesday's high at 1.3810 would push the asset toward the round-number support at 1.3900, followed by the prior week's high at 1.3978.
In contrast, a significant slide below the round-level support of 1.3700 will drive the asset toward the low of 1.3565 from October 6. A breach of the latter will result in additional asset deterioration towards the October 5 low of 1.3504.
Bonus rebate to help investors grow in the trading world!