The USD/CAD currency pair broke out to the upside during the Friday session, but gave back much of the gains. Nonetheless, we are above the parity level and have made a new high at one point or another during the session. This sets up as a binary trade, and we are willing to buy this pair on a breakout above the highs from the session on Friday.
This pair seems like it’s heading back up to the consolidation area which has a top level of 1.04 or so. Because of this, we think there is much more upside in this pair, and recognize the fact that it typically will go higher when there are bad headlines out there. There is plenty of headline risks going on right now, and as such we think this market is primed to go much higher.
Written by FX Empire