USDCAD – bears accelerated on break of pivotal supports
The USDCAD pair fell sharply on Wednesday, extending bear-leg from 1.2508 (19 Jan lower top).
Fresh bearish extension generated strong negative signal on break below pivotal supports at 1.2387 (Fibo 61.8% of 1.2061/1.2916 rally) and former lows which marked double-bottom at 1.2355/60.
Eventual close below 1.2387 Fibo support after several false breaks and close below 1.2355/60 lows, will be another bearish signal for continuation of downtrend from 1.2915 triple-top towards next target at 1.2263 (Fibo 76.4% of 1.2061/1.2916).
Bearish daily techs and negative outlook for the US dollar are expected to keep the pair under increased pressure.
With no data from Canada scheduled today, focus will turn towards US economic indicators (PMI and Housing data re highlights today) for fresh signals.
Res: 1.2360; 1.2387; 1.2400; 1.2439
Sup: 1.2300; 1.2263; 1.2195; 1.2171