The USD/CAD pair tried to break above the 1.10 level during the day on Wednesday, but turned back around and fell hard. Because of this, we feel that the market is probably heading back to the 1.0850 level, an area that is considered to be very supportive. A supportive candle down at that area should have us buying this market, and heading towards the 1.10 level given enough time. If we get a daily close above the top of the shooting star from the Tuesday session, we have more of a “buy-and-hold” type of situation.
