With its corrective weakness triggered off the 1.1223 level yet to be over, further decline is the likely scenario.
USDCAD may be retaining its long term uptrend but its immediate outlook remains to the downside.
Nearby support comes in at the 1.1040 level where a violation will aim at the 1.1000 level. Further down, support stands at the 1.0950 level and then the 1.0900 level, its psycho level.
Its daily RSI is bearish and pointing lower supporting this view. On the other hand, resistance comes in at the 1.1137 level where a violation will aim at the 1.1223 level, its Jan 31 2014 high.
A turn above here will activate additional strength towards the 1.1300 level where a breach if seen will trigger further gain towards the 1.1350 level. All in all, USDCAD continues to face further upside threats in the long term.
Guest post by FX Tech Strategy
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