• USDCAD broke support area
• Likely to fall to support level 1.2200
USDCAD currency pair recently broke the support area lying between the key support level 1.2365 (former monthly low from the middle of March) and the support trendline of the daily down channel from the end of December. The breakout of this support area accelerated the active short-term downward impulse waves 5 and (3).
Given the long-term daily uptrend and the continuation of the bearish sentiment affecting the U.S. dollar today – USDCAD currency pair can be expected to fall further toward the next support level 1.220 (target price for the completion of the active minor impulse wave 5).