Canadian Dollar: Breaks Support And Negativity in Place

The technical outlook remains unchanged, and the pair’s movements have not changed significantly, maintaining the expected bearish bias.

Technically speaking, the negative pressure from the 50-day moving average supports the continuation of the decline, in addition to trading stability below the extended resistance level of 1.2765 / 1.2780.

Therefore, our negative outlook will be maintained, provided that the 1.2700 breach is confirmed, and that accelerates and confirms the strength of the daily bearish trend, with targets of 1.2670 and 1.2645, respectively.

From the top, a rise above 1.2780 will immediately stop the bearish tendency, and the pair will regain the bullish correctional path again, to retest 1.2810 & 1.2850.

Note: Stochastic is trading around overbought areas.

S1: 1.2670	R1: 1.2745
S2: 1.2645	R2: 1.2800
S3: 1.2595	R3: 1.2820