USDCAD Analysis – September 19, 2009

USDCAD broke below 1.0632 previous low support, suggesting that a cycle top has been formed at 1.1101 level on daily chart. The pair is now in downtrend and deeper decline is expected to 1.0500 zone next week. Near term resistance is now located at 1.0925, only rise above this level will take price back to re-test 1.1124 resistance.

For long term analysis, USDCAD is long term downtrend from 1.3063 and the price action from 1.0784 is treated as consolidation of downtrend. Deeper decline is now in favor, and next target would be at 1.0000 zone.

usdcad daily chart