The USD/CAD pair fell during most of the session on Monday, but as you can see bounced enough to form a hammer that is focused on the 1.01 level. This being the case, it does appear that the market is trying to breakout to the upside again, although there will be a significant amount of resistance above. Because of this, we are cautiously bullish, but have to admit that this is one of our least pair pairs of the moment as the biggest game in town at the moment is shorting the Yen. Nonetheless, we do feel that this market will continue to grind higher, but probably find trouble at the 1.03 level if he gets there.
Written by FX Empire