Weekly Chart:
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Based on the 4-hour chart, a dip below the 1.7185 support will cause the rate to dive towards the 200-period SMA which will be executed over the following sessions, setting 1.7059 (100-period SMA) as its next target. With the ultimate target being 1.6549, the junior channel bottom trend-line, the rate will encounter several intermediate resistances on its way.
Daily Chart:
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Upside restrictions can be defeated
On the other hand, a short-term bullish development seems quite likely as well, as the 55-period and 200-period SMA crossover has just given a strong BUY signal, and a development of this kind would require at least a surge towards, but possibly a break out of the 1.7248 level with other strong supply areas at 1.7370 and 1.7643 respectively.
Additionally, if the price closes above the 1.7476 resistance mark, DBP/CAD will confirm a double bottom pattern, suggesting that a bullish outburst might indeed come.
Hourly Chart:
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More volatility ahead
Monthly Manufacturing Production caused disappointment amongst market participants, leading to a negative surprise reaction, which again confirmed the 1.7185 support by cutting losses right then and there. More volatility can be definitely expected over Wednesday's trading session, as a set of significant Canadian data, including the BOC rate statement, comes out at 2 PM GMT. Experts expect no change in the Canadian Overnight rate and any number other than the usual 0.5% could cause panic in the markets.
Aggregate Technical Indicators:
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