The USD CAD pair finds itself in a bearish consolidation phase as it struggles to maintain levels above 1.3800 during the Asian session on Thursday. The pair currently oscillates in a tight range below this critical threshold, which marks its lowest point since October 2025.

This downward trend has sparked concerns among traders, especially given the U.S. dollar’s current performance against the Canadian dollar. Investors are gearing up for upcoming economic indicators that could shape the future of these currencies.

Market experts advise traders to remain vigilant as the possibility of breach below the 1.3800 mark might trigger further selling pressure, potentially leading to a more significant downturn.