The USD/CAD pair try to rally during the session on Thursday, but found the area above the 1.10 level as being a bit too rich. Because of this, we formed a relatively negative candle, albeit sitting on top of significant support. Because of this, we feel that this market will eventually find that supportive candle and be a viable situation again, but until we get that candle we are on the sidelines. We ultimately believe that the market will hit the 1.12 level over the next several weeks, and then the 1.15 level.
