The USD/CAD pair originally trying to rally during the session on Wednesday, but as you can see by the chart form a shooting star as we pulled back. Looking at this chart, it’s obvious that we see weakness in this pair, and now we have to decide whether or not the 0.9950 level will be supportive, or will give way and allow the sellers to take this pair down to 0.98 or so. Currently, we are not in the position involving this pair, just simply because it looks messy at the margins. However, we would be willing to short this pair if we managed get a daily close well below the 0.9950 level. As far as buying is concerned, a break above parity would signal new momentum coming in to the upside.
Written by FX Empire