The USD/CAD pair is falling towards 1.3690, preparing to continue its downward correction before the key US macroeconomic statistics release at 14:30 (GMT+2). 

The price is in a correction and a fall is possible.

On the daily chart, the upward first wave of the higher level (1) of 5 formed, and a correction develops as the second wave (2) of 5, within which the wave B of (2) ends. Now, the wave c of B is developing, within which the wave (iv) of c of B has ended. If the assumption is correct, after the wave B of (2), the USD/CAD pair will fall within the wave C of (2) to the area of 1.3177–1.2850. In this scenario, critical stop loss level is 1.3978.

During the Asian session, the USD/CAD pair shows ambiguous trading dynamics, remaining close to the level of 1.3700. Yesterday, the short-term “bearish” trend continued, renewing the lows of April 12.

During the Asian session, the USD/CAD pair is trading neutrally at 1.3725 against macroeconomic data.