FX.co ★ USD/CAD analysis for December 31, 2021 - Srong downside breakout of consolidation

Technical analysis:

USD/CAD has been trading downside in the background. I found the breakout of the musty-day balance, which is good sign for further downside continuation.

Trading recommendation:

Due to the downside breakout of the balance in the background, I see potential for the bigger drop in the next period.

Watch for selling opportunities on the rallies and continuation al patterns.

Downside objectives are set at 1,2650 and 1,2615.

Stochastic is showing bear extreme condition but with no evidence for the reversal.

Key resistance is seet at 1,2750