USD/CAD Poised to Extend Down Move
USD/CAD Technical Strategy: Flat
Prices turned lower as expected after completing a bearish Evening Star candlestick pattern. Sellers have now cleared support at 1.0381, the 38.2% Fibonacciretracement, exposing the 50% level at 1.0311. A further push beneath that eyes the 61.8% Fib at 1.0240. The 1.0381 mark has been recast as near-term resistance, with a move back above that eyeing the 23.6% retracement at 1.0468. Risk/reward considerations argue against a trade at current levels and we will opt to remain flat for now.
Daily Chart - Created Using FXCM Marketscope 2.0
Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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