Canadian Dollar: Touches Targets And Selling Pressure Continues

The Canadian dollar fell significantly against its US counterpart, touching the official target during the previous analysis, located at 1.2380, recording a low of 1.2380.

Technically speaking, and by looking at the 60-minute chart, we find the simple moving averages continue to pressure the price from the top and support the bearish curve for prices, and we find that the stochastic started gaining bearish momentum.

Therefore, the bearish scenario will remain valid and effective, knowing that a break of 1.2380 forces the Canadian dollar to enter a strong bearish wave, the initial target of which is around 1.2320.

From the top, surpassing the previously broken support level, which is now converted into resistance at 1.2450, delays the chances of a reversal but does not cancel them, and we may witness a slight bullish bias targeting a retest of 1.2500/1.2510 before retreating again.

S1: 1.2360	R1: 1.2450
S2: 1.2320	R2: 1.2505
S3: 1.2270	R3: 1.2540