USDCAD: If This Breaks, USDCAD Might Be Lining Up a Smooth Drop

USDCAD tapped into a clear liquidity zone and showed signs of weakness at the top. Price is now hovering near a potential break of structure, and a fair value gap has formed just above.

If we get that break, the idea is to wait for price to retrace into the FVG, then look for a clean continuation to the downside.

There’s also a bearish trendline holding well, adding pressure to the move. On top of that, a head and shoulders pattern is forming, another clue that momentum could be shifting lower.

No need to rush. Let the break happen. Let price return. Then act.