By: Dima Chernovolov
USD/CAD continues to fall inside the clear 15-minute Down Channel chart pattern, which was recently identified by Autochartist. Autochartist measures the quality of this Down Channel at the 7-bar level – which reflects the strong Initial Trend (9 bar), above-average Uniformity (6 bars) and higher Clarity (7 bars). USD/CAD is expected to fall further inside this Down Channel.
As can be seen from the daily USD/CAD chart below – the price earlier reversed down from the resistance area located between the resistance level 1.307 (which has been reversing the pair from May), upper daily Bollinger Band and the resistance trendline of the weekly up channel from last October. The proximity of this resistance area increases the probability USD/CAD will continue to fall inside this Down Channel.