USDCAD Analysis – August 12, 2012

USDCAD’s downward movement extends to as low as 0.9905. Further decline could be expected over the next several days, and next target would be at 0.9800 area. Resistance is at the downward trend line on daily chart, as long as the trend line resistance holds, downtrend will continue.

For long term analysis, USDCAD may be forming a cycle top at 1.0445 on weekly chart. Further decline towards 0.9406 (Jul 26, 2011 low) would likely be seen over the next several months.

usdcad daily chart