USDCAD Analysis. Jan 20, 2008

As expected, USDCAD broke above 1.0248 previous high and reached as high as 1.0307 level. Further rally towards 1.0750 area is expected. Near term support is at 1.0124, as long as this support holds, up trend will continue. Key support is at 0.9756, only breakdown below this level will indicate lengthier correction to the up trend.

For long term analysis, the pair formed a long term cycle bottom at 0.9056 on weekly chart. Consolidation in a range between 0.9056 and 1.0750 can be seen in the next several months.

usdcad daily chart