USD/CAD Forecast December 21, 2016, Technical Analysis

USD/CAD daily chart, December 21, 2016

The USD/CAD pair initially tried to rally on Tuesday, but turned around to form a slightly negative candle. This slightly negative candle could lead to a short-term pullback, but I think that the markets may settle down unless of course there’s some type of shock from the Crude Oil Inventories announcement coming out today. Oil markets of course have a massive effect on the Canadian dollar itself, so given enough time I believe that the buyers will come back in on for support. This is especially true since we have seen such an explosive move to the upside.

Written by FX Empire