USDCAD Clear Channel Down until its invalidated

Time to update my USDCAD outlook made a month ago:


As you see the Channel Down eventually prevailed and the divergence was created as the condition I set (breaking the dashed Lower Highs trend-line) was not fulfilled. The price is now testing the 1D MA50 (blue trend-line). A break above still has to overcome the top (Lower Highs) trend-line of the Channel Down. The RSI is also under Lower Highs pressure.

A rejection there or on the 1D MA50, will extend the Channel Down pattern and the natural target will be the 1.22875 October 21 Low, currently the Support.

A break above the Channel Down will be enough to restore the bullish trend on the long-term horizon, targeting the 1.33880 Resistance (October 29 2020 High).



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