USDCAD Daily Analysis – August 31, 2023

USD/CAD is currently encountering the support of a rising price channel on its 4-hour chart. As long as the channel support holds, the recent pullback from 1.3639 could be considered a period of consolidation within the overall uptrend from 1.3092. In this case, there is a potential for a further rise towards the 1.3700 area after the consolidation phase.

However, if there is a breakdown below the support of the channel, it would suggest that the upside move has already completed at 1.3639. In such a scenario, the pair would likely find support around the 1.3450 level.

Traders should closely monitor the price action in USD/CAD, specifically focusing on the behavior around the channel support. This will provide insights into whether the pair continues its uptrend or undergoes a reversal in the near future.