CAD may continue to fall 6/10/2022

A temporary bullish rush dominated the Canadian dollar’s movements during the previous trading session, recording its highest level near the psychological barrier of 1.3700, which formed a negative pressure level on the price.

Technically, Stochastic has gradually lost its bullish momentum, and the daily bearish trend motivates the continuation of negative pressure from the simple moving averages.

Therefore, we keep our negative outlook as it is, targeting 1.3500 initial station, knowing that breaking it increases and accelerates the strength of the expected bearish daily trend, directly towards 1.3410.

Overshooting upwards and consolidation above 1.3700 can thwart the suggested bearish scenario, leading the pair to a temporary ascending path, targeting 1.3780.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.3500	R1: 1.3680
S2: 1.3405	R2: 1.3780
S3: 1.3305	R3: 1.3870