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Bears Remain In The Driver’s Seat

USDCAD TECHS
  • RES 4: 1.3513 50-day EMA
  • RES 3: 1.3391 20-day EMA
  • RES 2: 1.3371 High Dec 20 / 21
  • RES 1: 1.3334 High Jan 03
  • PRICE: 1.3326 @ 08:12 GMT Jan 03
  • SUP 1: 1.3177 Low Dec 27
  • SUP 2: 1.3093 Low Jul 14 and key support
  • SUP 3: 1.3044 2.0% 10-dma envelope
  • SUP 4: 1.2992 50.0% retracement of the 2021 - 2022 bull phase

The USDCAD trend outlook remains bearish, despite the corrective bounce into the Tuesday close. The pair last week cleared a bear trigger at 1.3480, the Dec 4 low. Furthermore, all key short-term retracement points have been breached. These developments reinforce a bearish theme and maintain the price sequence of lower lows. Sights are on 1.3093, the Jul 14 low and a key support. Resistance to watch is 1.3391, the 20-day EMA.

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