The USD/CAD pair fell significantly during the Wednesday session as we smash through the 0.99 handle. This area was thought to be supportive, and the fact that it was working through like it wasn’t even there would have been somewhat surprising. However, the markets have been held hostage by the U.S. Congress lately and the fact is that the markets have been pressured or at least weight upon by this situation. Now that we have cleared it for the short-term, the downside is definitely the more favored trade in this market. However, we will have to break down below the 0.98 handle in order to comfortably start selling.
Written by FX Empire