USD/CAD Forecast February 18, 2016, Technical Analysis

The USD/CAD pair fell during the course of the day on Wednesday, testing the 1.37 handle. This is an area that has been supportive in the past, but quite frankly we think that there’s much more support near the 1.35 level. At that point, we would anticipate a more valiant effort by the buyers. Between now and then, we think that this pair will continue to struggle a bit, but eventually oil markets will fall, sending this market higher as well. Short-term selling is possible, but we prefer to buy on support below.