USD/CAD Price Analysis: A bearish break and retest of structure on the cards

• USD/CAD bears await break of support and retest for confirmation. 
• 1.3050 is on the radar while below 1.3180.

The price of USD/CAD is under pressure and a significant weekly correction opens the prospect of a downside continuation towards 1.3050. 

The following is a top-down analysis that illustrates where a setup can be established on further deterioration in the price to below the current support structure. 

Monthly chart

The monthly outlook remains bearish as the price fails the break resistance, so far, on a correction of the monthly downside.

Weekly chart

The weekly chart shows that there has been a significant enough correction of the latest weekly completed candlesticks.

Daily chart

The same can be said for the daily chart as the price corrects to structure and fails to the upside. 

4-hour chart

The bears can map out a target of 1.3050 in a Fibonacci extension.

A stop loss can be placed above the structure and a sell limit can be placed below it as soon as the environment turns more bearish. 

As it stands, the price is supported b the 21 moving average and prior structure.