The USDCAD currency pair has continued its downward movement, extending from 1.3654 to a recent low of 1.3312. The pair is currently facing a critical support level at 1.3300, which will play a crucial role in determining the next phase of price action.
The prevailing downside momentum suggests that further decline could be in store for USDCAD. If the pair manages to break below the 1.3300 support level, it could open the door for a potential move towards the next support level at 1.3260. Traders should monitor this area closely, as a breakdown could signify the continuation of the bearish trend.
On the other hand, in the near term, the pair faces resistance at 1.3387. A breakout above this level would indicate a temporary halt in the downward movement and could potentially lead to a retest of the 1.3461 resistance. Should the price surpass this level, it would suggest that the downside movement from 1.3654 has concluded at 1.3312. In such a scenario, the pair could see a subsequent rise towards the previous high at 1.3654.
In summary, the USDCAD currency pair has extended its downward move, testing the support level at 1.3300. A breakdown below this level could lead to further decline towards 1.3260. Resistance is currently at 1.3387, and a breakout above this level could signal a temporary pause in the downtrend and a potential retest of 1.3461. Traders should closely monitor price movements and market developments for indications of the pair’s future direction.
