USD/CAD Price Analysis: Looks for more gains beyond 1.2350

• USD/CAD pares part of its previous day’s loss on Monday.
• More gains envisioned if price decisively breaks 1.2350.
• Momentum oscillator trades with positive bias indicate further upside.

USD/CAD pair edges higher on Monday in the initial European trading session. The pair opened lower and quickly rebound to touch the intraday high at 1.2348.

At the time of writing, USD/CAD is trading at 1.2346, up 0.18% for the day.

USD/CAD daily chart

On the daily chart, after consolidating in the 1.2280-1.2330 trading range, USD/CAD rose to 1.2449 on Friday. However, it failed to preserve the upside momentum.

If price breaks the session’s high at 1.2348, it would move toward the 100-day Simple Moving Average (SMA) at 1.2384.

The Relative Strength Index (RSI) indicator reads comfortably above 50. Next, the USD/CAD bulls would aim to test Friday’s high in the vicinity of the 1.2450 area.

A daily close above the 1.2450 would motivate the bulls to push higher toward the 1.2500 key psychological mark.

Alternatively, if price starts moving lower, then the first support could be seen at the 1.2300  horizontal support level, followed by the low of June 23 at 1.2252.

The next area of support navigated toward the 1.2220 horizontal support level.

USD/CAD additional level