The USD/CAD pair tried to break higher during the course of the day on Friday, and did manage to close above the 1.20 level. However, we ended up forming a shooting star which of course is a fairly bearish sign, as we continue to grind around the 1.20 handle again and again. Ultimately though, it does look like we are grinding lower overall so we feel that a break of the bottom of the shooting star could send this market looking for the 1.19 level, and then the 1.18 level. At this point in time we feel that there is too much in the way of bearish pressure to start buying and therefore don’t have a bullish scenario at the moment.
