Currency pair US Dollar to Canadian Dollar USD/CAD continues to move as part of the fall and the downward channel. At the time of the publication of the forecast, the rate of the US Dollar to the Canadian Dollar is 1.2272. Moving averages indicate a short-term bearish trend for the pair. Prices broke through the areas between the signal lines downward, which indicates pressure from sellers and a potential continuation of the fall in the pair of prices in the near future. At the moment, we should expect an attempt to develop growth and test the resistance level near the 1.2385 area. Further, a rebound down and the continuation of the fall of the currency pair on Forex. The potential target of such a movement of the instrument is the area below the level of 1.2075.
USD/CAD Forecast Canadian Dollar May 7, 2021
An additional signal in favor of the fall in the Canadian Dollar quotes will be a test of the trend line on the relative strength index (RSI). The second signal in favor of growth will be a rebound from the upper border of the descending channel. Cancellation of the option to drop the USD/CAD currency pair at Forex will be a strong growth and a breakdown of the 1.2485 area. This will indicate a breakdown of the resistance area and continued growth of quotations to the area above the level of 1.2685. It is worth waiting for confirmation of the pair’s fall with the breakdown of the support area and closing of the USD/CAD pair quotes below 1.2205.
USD/CAD Forecast Canadian Dollar May 7, 2021 suggests an attempt to test the resistance area near the level of 1.2385. Further, the continuation of the fall to the area below the level of 1.2075. An additional signal in favor of a decline in the Canadian Dollar on Forex will be a test of the trend line on the relative strength index (RSI). Cancellation of the option to drop USD/CAD quotes will be a strong growth and a breakdown of the level of 1.2485. This will indicate a continued rise in the value of the asset with a potential target above the level of 1.2685.
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