USDCAD: Candles Hint Parity Level to Hold
Strategy: Pending Long
USDCAD put in a Bullish Engulfing candlestick pattern above resistance-turned-support at the parity level, hinting the pair is preparing to resume its advance. However, risk/reward considerations argue against entering short at present given the proximity of resistance at 1.0254, the 23.6% Fibonacci retracement level, and we will remain on the sidelines for now.
Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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