USD/CAD Price Analysis: Sellers extend pullback from 50-HMA towards 1.2800

• USD/CAD refreshes intraday low, fades bounce off one-week low marked the previous day.
• RSI retreat, sustained trading below previous support line, SMAs keep sellers hopeful.
• 50% Fibonacci retracement limits immediate downside, 200-HMA acts as additional resistance.

USD/CAD sellers attack 1.2800, down 0.06% intraday near 1.2807 during early Monday. In doing so, the Loonie pair stretches the previous day’s pullback from 50-HMA amid RSI retreat.

Also favoring the bears is the quote’s sustained trading below the 200-HMA and previous support line from December 08.

That said, 50% Fibonacci retracement (Fibo.) of December 08-20 upside, near 1.2785 lures intraday sellers ahead of the mid-December’s swing low near 1.2760.

Adding to the downside filters is the 61.8% Fibo. level surrounding 1.2745 and the 1.2720-25 region.

Meanwhile, an upside clearance of the 50-HMA level of 1.2820 will aim for the 200-HMA level, at 1.2858 by the press time.

Even if the quote rises past 1.2858, the previous support line close to 1.2925 and the monthly peak of 1.2964, also the highest level in 2021, will challenge the USD/CAD buyers.

USD/CAD: Hourly chart

Trend: Further weakness expected