Sellers continued to dominate on Monday. They moved the pair to the 1.3350 first and after a brief fight retook the level. The spot accelerated its sell-off after that and dropped through the Fibo retracement of 38.2% to the 1.3300. The majors spent almost the whole night here and continued its decline by the morning. The EMA50 is moving downwards, the EMA200 started to change its course. MACD remained in the negative territory. Stochastic consolidated in the oversold levels. The resistance stands at 1.3300, the support is at 1.3250.
The currency pair is oversold and requires correction. In this potential scenario the USD/CAD pair may recover to 1.3350. We do not exclude another sellers’ attempt to reach 1.3250.