USD/CAD Forecast April 16, 2014, Technical Analysis

The USD/CAD pair rose during the session on Tuesday, but fell 1.10 level to be resistive enough to keep the market down. The resulting shooting star course is a negative sign, and as a result we feel that perhaps the market is going about around in the general vicinity as the Monday candle was a hammer. It would make sense, 1.10 is a large, round, psychologically significant number. With that, we need to see the top of the shooting star broke into the upside in order to start buying. We do believe that will happen though, because the weekly candle was in fact a hammer.