USDCAD could decline to 1.30 in the next few weeks – Scotiabank

USDCAD consolidates after key technical break through 1.3495. Economists at Scotiabank believe that the pair could slump to the 1.30 mark in the new few weeks.

Resistance aligns at 1.3490/00

“Price signals suggest the USD is consolidating recent losses rather than reversing them.”

“Narrow gains leave USDCAD building a potential bear flag pattern (losses resume below 1.3420 intraday). Resistance is 1.3490/00.”

“Broader price signals remain USD-bearish, with the noted Head and Shoulders reversal on the daily chart targeting a measured move decline to 1.30 in the next few weeks.”