USD/CAD: Bear wedge pattern to face solid support at 1.3331 – Credit Suisse

USD/CAD maintains a bear ‘wedge’ continuation pattern as extends the downmove today, breaking below the price support and pivotal 78.6% retracement of the June correction higher at 1.3402/3398. Next support is seen at 1.3365/57, then more importantly at 1.3331/17, per Credit Suisse. 

Key quotes

“With daily MACD momentum also crossing lower, we stay biased lower and a close below the aforementioned 1.3402/3398 would see next support at the more important 2020 low and retracement support at 1.3331/17, where we would expect to see fresh buyers at first.”

“Big picture, the ‘measured wedge objective’ is seen much lower at 1.3206, just shy of a more important support area at 1.3202/3191.”

”Resistance is seen initially at 1.3427, then 1.3486/91, ahead of the 200-day average at 1.3515, which ideally now caps. Above here could see a move back to 1.3539.”