Loonie Support Zone

The USDCAD is at the support zone. It produced a doji at the figure yesterday. It has also hit the MOB but the other MOB is slightly further below and the extension is between both MOB's.

Based on the confluene of events this could bounce and a long poisition is acceptable if you are an aggressive trader. However, if you are conservative then you want to see this produce further confluence before entering. A long position here produces a good chance of being stopped out but a very small risk.

Fundamentally the Dollar still looks weak so a long here would be going against the run of play but once again this is the opportunity only for aggressive traders with well placed stops.

A few things that could affect this pair is Bernanke, prelimanary GDP and possibly current account.


Chart courtesy of Advanced Get. Data provided by eSignal.


Chart courtesy of Advanced Get. Data provided by eSignal.

Forex Analysts
Javid Shaik & Anne Chapman