USD/CAD: Break below 1.3500/1.3420 to trigger a deeper fall – ScoGen

FXStreet Insights Team FXStreet

USD/CAD achieved projections near 1.3860 earlier this month and has embarked on an initial pullback. A break under 1.3500/1.3420 would mean onset of a deeper downtrend, analysts at Société Générale report.

Overcoming recent peak near 1.3860 would affirm extension in up

“Break below a short-term channel highlights possibility of a down move towards 1.3630 and the 50-DMA at 1.3500/1.3420 which is also the ascending trend line drawn since June last year. This is an important support; only a break below would mean onset of a deeper downtrend.”

“Overcoming recent peak near 1.3860 would affirm extension in up move towards last year high of 1.3980/1.4040.”

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FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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