USDCAD Likely To Consolidate Before Major Uptrend Resumes!

Loonie might likely consolidate this week as the prices would likely try to aim for the rising trendline. After the BOC raised the rates by 100bps, the consolidation scenario seems likely before the major uptrend resumes.

Technically, looking at the main chart the price failed to breach the 1.30700 level and created multiple wicks signaling rejection. For the short trade criteria to be met, it would be wise to await the daily candle breach and close below 1.28200 support/ demand zone. After confirming the break the ideal target would be the rising trendline.

Just to note that this scenario is a counter trend move, once the prices hit the rising trendline, the major uptrend might likely resume. Have a look at the main chart and observe the technical analysis and also related link section.