The USD/CAD pair initially rose during the session on Thursday but pulled back as the resistance level held true yet again. The 200 day EMA was tested at the very highs, and although the oil markets fell apart – the CAD still ended up gaining. The shape of the daily candle is a shooting star, and as it is at the top of a consolidation range, it looks as if it could be a decent sell signal. In fact, on a break of the lows for the session – we are sellers. We cannot buy until we see a break of the 1.01 level as it is the top of resistance at this point.
Written by FX Empire