USD/CAD fell during the session on Tuesday, but as you can see formed a little bit of a hammer and therefore really didn’t decide anything. With the Federal Reserve deciding on its tapering policy over the next couple of days, this market will more than likely do very little until the announcement is made. All things being equal though, we think that we are at the bottom of the consolidation area, so it’s more than likely going to be a bounce from here that we see. Expect resistance of the 1.04 handle, and as a result this is a really tight market.
Written by FX Empire