Forex Analysis: USDCAD Classic Technical Report 11.08.2012
Prices put in a Bullish Engulfing candlestick pattern above rising trend line support set from mid-September (now at 0.9871), hinting a move higher is ahead. Initial resistance lines up at 0.9965, the 23.6% Fibonacci expansion. A break above that targets the 38.2% level at 1.0021. Overall positioning continues to favor a move to a measured upside target at 1.0140 after the pair completed an inverse Head and Shoulders bottom on October 19.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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