The USD/CAD pair fell for most of the session on Friday, but had a nice bounce in the late hours to form a hammer on the parity level. The markets have taken a decidedly “risk off” tone overall, and this pair isn’t any different.
The resistance goes all the way to the 1.01 level as far as we can tell, and because of this we are hesitant of going long at this point. Selling would have us back in the consolidative area below, so a break of the lows form the session could be used to do so, but in all fairness we will more than likely stay out of this market until it settles down.
Written by FX Empire