FX.co ★ USDCAD new lows closer to our target

USDCAD remains in a bearish trend. We were expecting a move towards 1.30 since the break below 1.35 and today we got very close to touching 1.30. Price made a new lower low confirming bearish trend but it seems some profit taking by bears is pushing prices higher towards 1.31.

Red lines -long-term bearish channel

Yellow rectangle- key resistance

USDCAD remains inside the bearish channels. Price has reached very close to our 1.30 target and the lower channel boundary. The RSI has just reached oversold levels. Trend remains bearish. Price could bounce towards 1.3150 which is previous support and now resistance. I continue to expect a lower low towards 1.30 and maybe 1.29 to come. Our bearish view remains valid as long as price is below 1.3230 which our new lowered stop.