The USD/CAD pair initially rose during the session on Tuesday, but found the 1.01 area far too resistive, and turned around and started selling off. At the end of the session, we are essentially at the parity level and have formed a very bearish candle. This came after a shooting star, and it now appears that we are going to start selling and aiming towards the 0.99 handle. It is because of this that we are ready to start selling and think that perhaps we may go even lower. As far as buying is concerned, and to we get that daily close above 1.01, any type of buy signal will be short-term at best.
Written by FX Empire