AUDCAD printed a strong bearish engulfing candle on the H4 timeframe, rejecting a key resistance zone and the upper boundary of the descending channel. Price failed to sustain above resistance, suggesting buyers are losing momentum. RSI is turning lower from the mid-range, supporting a potential bearish continuation. If the next H4 candle confirms the rejection with further downside, sellers may target the previous swing low and the lower channel support. A move above the recent resistance would invalidate the bearish setup.