USDCAD Analysis – December 31, 2011

USDCAD is forming a triangle pattern on daily chart. Another rise towards the upper border of the pattern would likely be seen next week, a clear break above the pattern could bring price to 1.1000 area. On the downside, a clear break below the lower border of the pattern will indicate that the uptrend from 0.9406 has completed at 1.0656 already, then the following downward movement could bring price back towards 0.9406.

For long term analysis, USDCAD had formed a cycle top at 1.0656 on weekly chart. Further fall towards 0.9406 previous low could be seen over the next several weeks.

usdcad daily chart