USDCAD: Bearish Signal
– Currency pair reversed from resistance zone
– Expected decline toward support level 1.4125
The USD/CAD currency pair recently reversed downward from the resistance zone spanning between the strong resistance level 1.4260 (which halted wave i at the end of June) and the upper daily Bollinger Band.
The downward reversal from this resistance zone terminated the earlier sharp upward impulse wave iii from the start of September.
Given the strength of the resistance level 1.4260 and the overbought daily Stochastic oscillator, USDCAD currency pair can be expected to fall further toward the next support level 1.4125 – former resistance from the end of July.
