FX.co ★ USD/CAD

Hello traders, On the H4 chart of the USD/CAD currency pair during the current trading week, the previous lows are being updated every day, indicating the development of a downtrend for the asset. Moreover, the pair's quotes have finally settled below the MA200 moving average line, contributing to further decline in its quotes. There is a local oversold condition for the asset, but it is insufficient to change the current situation significantly, as there is no bullish divergence with the MACD indicator histogram, which typically serves as a precursor, at the very least, for a significant local correction of the asset. In general, my priority for this pair is associated with the continuation of its southern development within the formation of the internal structure of the 3rd wave of the descending formation. To confirm this wave scenario, an update of the end of the 1st wave at the level of 1.3641 will be required. So far, everything is moving in that direction.