USDCAD D1 – Liquidity Sweep at Support Before Potential Reversal

USDCAD D1: Price trading below broken bullish channel. Rejection from bearish OB suggests continuation toward daily support. Watching liquidity sweep below 1.36 before potential reversal.
Market Structure (D1)
Overall structure: Previously bullish (ascending channel), but structure broke down in December.
Current price is below the broken channel, indicating bearish corrective phase within a larger range.
Market is now ranging between major support and supply.
Key Levels
Resistance / Supply
1.3950 – 1.4050
Strong daily resistance
Previous highs + trendline rejection
1.3800 – 1.3850 (OB zone)
Clear bearish Order Block
Likely area for sellers to step in again
Support / Demand
1.3600 – 1.3550
Strong daily support
Multiple reactions + liquidity resting below
1.3500
Next downside target if support fails
Current Price Behavior
Price rejected from OB (1.38 area) and is moving lower.
Structure shows lower highs & lower lows → short-term bearish.
Liquidity likely resting below 1.36, aligning with your marked sweep.
Scenarios
Bearish Scenario (Higher Probability)
Price sweeps liquidity below 1.3600
Possible false breakdown
Then:
Either continuation toward 1.3500
Or reversal back into range
Bullish Scenario (Conditional)
After liquidity sweep:
Strong bullish daily close back above 1.3600
Target:
1.3800 OB
Extension toward 1.3950 resistance
Trading Bias Summary
Short-term bias: Bearish
Mid-term bias: Range-bound
Best trades:
Shorts from 1.3800–1.3850
Longs only after confirmation at 1.36 support