Chart of the day - USDCAD (26.08.2021)

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USDCAD currency pair experienced some steep gains at the end of the previous week. Nevertheless, sentiment on the pair took a U-turn after the week. Taking a look at H4 interval, we can see that the pair has made a downward correction that was almost equal in range to the on from the second half of July. Key support to watch can be found at 1.2565, where the previous price reactions, downward trend line as well as the lower limit of market geometry can be found. In case buyers manage to halt declines in this area, another upward impulse may be generated. On the other hand, breaking below 1.2565 may trigger deeper decline.

Source: xStation5

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