The USDCAD pair experienced temporary gains yesterday but subsequently turned bearish, settling around the EMA50 and maintaining the prevailing downtrend on the intraday basis. The focus remains on a potential visit to the support line of the bullish channel near 1.3400.
Monitoring the price as it approaches this level is crucial, as its behavior will determine the next move. Consolidation above 1.3400 could signal a resumption of the main bullish trend within the channel. Conversely, a break below this level would indicate further downside momentum on the intraday basis.
The anticipated trading range for today is expected to fluctuate between the support level at 1.3380 and the resistance level at 1.3500.
Overall, the trend outlook for today remains bearish, pending further price action around the key support level at 1.3400.