USD/CAD Forecast January 21, 2015, Technical Analysis

The USD/CAD pair broke higher during the course of the session on Tuesday, clearing the top of the shooting star from last week as well. We are now broken out above the 1.20 handle, which of course is a very positive sign. With that, we are buyers of this pair and we believe that we will ultimately head to the 1.25 level given enough time. We believe pullbacks will continue to be buying opportunities, and as a result we have no interest whatsoever in selling this market. Oil markets continue to be very soft, working against the value of the Canadian dollar.