USD/CAD Short Setup: CAD Strength on Oil Recovery

**Pair/Symbol:** USD/CAD Crude oil has recovered 4% this week on supply cut announcements, which is a direct tailwind for the Canadian dollar. USD/CAD has consequently dropped from 1.3720 to 1.3650 and is now testing the 200-day moving average from above. The daily chart shows a clear breakdown below the rising trendline from February. Today's bearish engulfing candle at the trendline retest is a clean setup for further downside. **Entry:** 1.3648 (short after engulfing close) **Stop Loss:** 1.3695 (above retest high) **Take Profit 1:** 1.3580 (weekly support level) **Take Profit 2:** 1.3510 (monthly demand zone) **Risk/Reward:** 1:1.5 to TP1, 1:2.9 to TP2 Watch WTI crude — if oil pulls back sharply, this CAD strength thesis weakens. Set an alert on crude at $78 for risk management. Are you trading USD/CAD this week?