The USDCAD currency pair has extended its downward move, declining from its recent high of 1.3654 to as low as 1.3177. The pair remains below the falling trend line on the 4-hour chart, indicating a continuation of the current downtrend.
Traders can anticipate further downside movement in the USDCAD pair, with the next target set around the 1.3100 area. This level represents a key support zone, and a breach below it could potentially open the door for further declines in the near term.
In terms of resistance levels, immediate resistance is seen at 1.3250. A breakout above this level could provide a temporary relief rally and bring the price back towards the descending trend line. However, for a significant shift in the market sentiment, it would require a break above the trend line resistance, which could signal a potential completion of the ongoing downtrend.
In conclusion, the USDCAD currency pair has extended its downward movement, remaining below the falling trend line on the 4-hour chart. Traders can anticipate further downside potential with the next target set around the 1.3100 area. Immediate resistance lies at 1.3250, and a break above this level could provide a temporary relief rally. However, a significant shift in the downtrend would require a break above the trend line resistance. Traders should stay vigilant, adapt to changing market conditions, and employ proper risk management strategies to navigate the market effectively.
