The USDCAD presses on the support – Analysis - 03-02-2021

The USDCAD pair bounced downwards clearly yesterday after approaching 1.2895 level, to press on the key support 1.2780, noticing that the price forms double top pattern now that might push the price to decline again and resume the main bearish trend, while the EMA50 and stochastic attempt to provide the positive support to the price.

Therefore, the contradiction between the technical factors makes us prefer staying aside until the price confirms its situation according to 1.2780 level, as breaking it will complete the mentioned negative pattern and push the price towards 1.2650 followed by 1.2590 levels mainly, while holding above it will reactivate the bullish trend scenario that its next target located at 1.2895.

The expected trading range for today is between 1.2700 support and 1.2860 resistance.

The expected trend for today: Neutral