USD/CAD technical analysis: On the verge of confirming a fresh bearish breakdown

• The USD/CAD pair remained heavily offered for the second straight session on Thursday and has now moved well within the striking distance of last week's multi-month lows.
• The pair's inability to capitalize on the recent bounce closer to mid-1.3100s and a subsequent pullback clearly suggests that the near-term bearish pressure is still far from being over.

Currently hovering around 38.2% Fibo. level of the Dec. 2017-Jan. 2019 bullish move, a follow-through weakness below the recent swing low - around the 1.3040-35 region, will reinforce the negative outlook and open the room for a further near-term depreciating move.

Below the mentioned support, the pair is likely to accelerate the slide towards challenging the key 1.30 psychological mark before extending the bearish momentum further towards the 1.2970-65 intermediate support en-route next major support near the 1.2935-30 region.

On the flip side, the 1.3100 round figure mark now seems to act as immediate strong resistance and any subsequent recovery might continue to remain capped near the 1.3135-45 supply zone, which if cleared might negate the negative outlook and prompt some short-covering move.

USD/CAD daily chart