The USD/CAD currency pair fell during the session on Friday, but found the 0.98 handle supportive as usual and bounced enough to form a hammer. The hammer isn’t exactly the most perfect looking hammer, but it does suggest that we will bounce from this general vicinity. However, we see the 0.99 level as massive resistance right now, and as such we think that this is simply going to be a consolidation move more than anything else. Because of this, we are not interested in trading this pair until we get a break down below the 0.98 handle which would be the most obvious and clear move that we could see. At that point time, we would become aggressively short.
Written by FX Empire