USD/CAD started a short to mid-term downtrend starting with Monday this week thus moving inside a bearish channel marked in yellow.
Yesterday, the pair witnessed some bullish strength to test the upper limit of the yellow channel failing to break and stabilize above its upper limit. However it managed to break the violet channel to the downside today.
Now we expect the pair to resume its downside movement on the short-mid term so we may take short position to get benefit from this move.
NB:
Yellow channel represents the last 3 days' movement.
Violet channel represents the Yesterday's movement.
Blue channel represents the last 2 days movement.
Based on the previous analysis
We suggest selling the USD/CAD currency pair at 1.0180 with TP at 1.1030, 1.0104 then at 1.0080.
SL should be located above 1.0210.
