FX.co ★ USD/CAD intraday technical analysis and trading recommendations for June 27, 2013

The USD/CAD pair rose steeply last week approaching key resistance level of the ascending channel around at 1.0530 as depicted on the chart.

The pair expressed quite significant bearish movement in the past two days due to bearish rejection expressed at the upper limit of the ascending channel.

Today, the possibility of a downside move is still intact, consolidation and trading below 1.0530 remains negative. However, we need to see the pair fixated below 1.0470 to enhance this bearish view.

Reversal of the ongoing bullishness may be taking place around the current levels especially after the bearish pressure manifested in the "Inverted Hammer & Spinning Top" successive daily candlesticks .

The previously suggested SELL entry around 1.0530 is still valid with SL located above 1.0595 with target levels located at 1.0420 then 1.0340.