USD/CAD Price Analysis: A bearish break and retest of structure on the cards
|- USD/CAD bears await break of support and retest for confirmation.
- 1.3050 is on the radar while below 1.3180.
The price of USD/CAD is under pressure and a significant weekly correction opens the prospect of a downside continuation towards 1.3050.
The following is a top-down analysis that illustrates where a setup can be established on further deterioration in the price to below the current support structure.
Monthly chart
The monthly outlook remains bearish as the price fails the break resistance, so far, on a correction of the monthly downside.
Weekly chart
The weekly chart shows that there has been a significant enough correction of the latest weekly completed candlesticks.
Daily chart
The same can be said for the daily chart as the price corrects to structure and fails to the upside.
4-hour chart
The bears can map out a target of 1.3050 in a Fibonacci extension.
A stop loss can be placed above the structure and a sell limit can be placed below it as soon as the environment turns more bearish.
As it stands, the price is supported b the 21 moving average and prior structure.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.