The US dollar is gaining value in the USD/CAD pair, developing a tentative "bullish" signal. The instrument is testing 1.4030 for a breakout, while trading participants are expecting the emergence of new drivers of movement.

The USD/CAD pair is correcting at 1.4028 amid the neutral dynamics of the American currency and positive macroeconomic statistics from Canada.

A fall is possible.

On the daily chart, the downward correctional second wave of the highest level (2) forms, within which the wave А of (2) and the correctional wave B of (2) ended. Now, the wave C of (2) and the first entry wave of the lowest level (i) of i of C have started. If the assumption is correct, the USD/CAD pair will fall to the area of 1.3722–1.3550. In this scenario, the critical stop loss level is 1.4142.

Last week, the USD/CAD pair renewed its October high of 1.4061, but after the publication of Canadian macroeconomic statistics, it corrected downward. In October, the unemployment rate changed from 7.1% to 6.9% relative to the neutral forecast, and employment increased from 60.4K to 66.6K, although experts had expected a decrease of 5.0K.

The USD/CAD pair is trading within a medium-term uptrend: last week, the price reached nine-month highs in the area of 1.4140, but over the past two sessions, quotes have begun to actively correct downwards.