USD/CAD Forecast January 8, 2013, Technical Analysis

The USD/CAD currency pair initially tried to rally during the Monday session, but failed and formed a shooting star. This looks like a market that’s trying to continue lower and interestingly enough the oil markets will go to trying to build pressure to go higher. If that actually happens, this pair should break down below the 0.98 handle in order to give us a massively bearish signal. However, until we see that happen it is going to be difficult to sell this pair is there simply a ton of support just below. As for buying, we don’t feel that it is safe to do until we clear the 1.0050 handle, something that does not look likely to happen soon.

 

Written by FX Empire