Strategy: Pending Long
USDCAD put in a bullish Morning Star candlestick pattern above support at 1.0050, the 61.8% Fibonacci extension level, hinting a move higher is ahead. Entering long here doesn’t appear attractive from a risk/reward perspective however with prices so close to resistance at 1.0230, the 38.2% Fib, and we will remain on the sidelines for now until a more compelling opportunity presents itself.
Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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