The USD/CAD pair fell during the session on Wednesday, testing the bottom of the hammer that had been formed on Tuesday. However, most important candle on this chart that we see at the moment is the shooting star from Monday. It formed at the 1.05 handle, which of course is a large, round, psychologically significant number. The 1.04 level below should offer support, and we believe that the support level runs all the way down to the 1.03 handle. In other words, there should be supportive action below to start buying, and as a result we are waiting for that supportive candle.
Written by FX Empire