CAD touches the descending goal and confirms the break 12/8/2022

The Canadian dollar succeeded in achieving the negative outlook as we expected during the previous analysis, touching the first target to be touched at 1.2720, recording the lowest level at 1.2725.

Technically, and with the pair’s success in breaking the support line as shown on the 4-hour chart, the pair’s continuing negative pressure from the simple moving averages supports the bearish price curve.

This encourages us to maintain our negative outlook, provided that we witness a clear break of the 1.2720 support level, which enhances the chances of continuing the decline to visit 1.2665 and 1.2630, waiting for next stations as long as the price is stable below 1.2780.

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: 1.2720	R1: 1.2780
S2: 1.2665	R2: 1.2830
S3: 1.2620	R3: 1.2880