The price chart of the USD/CAD currency pair continues to record an increase in price, maintaining a bullish pattern for 3 consecutive months.
The situation is driven by the main factor of the actions of the Canadian central bank that continues to ease their monetary policy, with an aggressive interest rate cut implemented at last week's meeting.
In the New York session yesterday, Canadian inflation data was published, showing the latest figure for November falling to 0.0%, lower than the forecast of 0.1%.
This is seen in line with the central bank's easing policy action, thus adding continued pressure on the Canadian dollar.
Observing the USD/CAD chart, the price surged past the 1.43000 high in the New York session yesterday, marking the highest price reached in 4 years.
However, the increase did not stop there as the bullish pattern continued today (Wednesday) and until the beginning of the European session, the price had reached a new high around 1.43300.
With the pattern displayed, the price is seen to continue the momentum to hunt for its latest record high this year.
The nearest target is at 1.44000 which is seen as the focus zone that the price will test.
However, with the uncertain market atmosphere this week, it is not impossible that the direction of the price movement could change.
If the price declines again, it is expected to approach the 1.42000 zone that was broken during last week's increase.
After the bearish signal is clearer, the price could fall lower by continuing to decline to around 1.41000.
