The USD/CAD pair fell during the bulk of the session on Thursday, but as you can see got enough pressure to the upside of the 1.09 level in order to form a hammer. The fact that we had formed a shooting star the previous day suggests to us that we will probably grind sideways is in a pulling back. This normally means that you’re going to break out to the upside as well, which means his pair may not be done rising. Pay special attention to the oil markets, because if we break above the 1.10 level, it’s very likely that the market will have already broken down itself.
Written by FX Empire