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The USD/CAD pair is trading at 1.3707 and it moves somehow sideways. The price action signaled that the upside movement (uptrend) ended. As you can see on the H1 chart, the rate dropped below the uptrend line (downside obstacle) signaling exhausted buyers.
The 1.3658 former low represents a downside obstacle. The downside movement was stopped by this level.
Dropping below 1.3658 downside obstacle activates a larger drop. This is seen as a selling opportunity.
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