USD/CAD Forecast January 29, 2015, Technical Analysis

The USD/CAD pair went back and forth during the course of the session on Wednesday, as the market continues to try to come up with enough momentum to break above the 1.25 handle. With that, we are buyers of dips, but we recognize that a pullback might be healthy and needed at this point in time. Ultimately, we have no interest in selling and believe that the Canadian dollar will continue to soften overall. On a break out above the 1.25 level, we are much more apt to start buying again as we recognize it as a significant barrier. We believe that the 1.20 level below as a floor.