USD/CAD Forecast February 26, 2015, Technical Analysis

The USD/CAD pair initially fell during the course of the session on Wednesday, but found enough support at the 1.24 level to bounce and form a hammer. With that, the market looks like it’s ready to continue going higher for the short-term, but we recognize that this market could possibly be forming a descending triangle. With that, this is a short-term buying opportunity at best, and a break below the bottom of the triangle could send this market to the 1.20 level. Down there is the floor, so quite frankly we are looking for supportive candles below if we do break down. We have no interest in selling.