USD/CAD Forecast December 27, 2012, Technical Analysis

The USD/CAD pair rose during the session on Wednesday as we continue to press up against the 0.9950 resistance level. This market will move in reaction to the fiscal talks in Washington DC, as both economies are so dependent on the American consumer. With that being said, until we get a daily close above the 0.9950 level, we are not willing to buy this pair. If we managed to break down below the 0.9900 level, we think that would continue to pressure this market to the downside and perhaps could give us enough momentum to close below the 0.9800 handle. At that point time, we feel this market has broken down again and should continue to fall further.

 

Written by FX Empire