The USD/CAD pair went back and forth during the day on Tuesday, but ultimately found buyers below to form a bit of a hammer. With this, we feel that the USD/CAD pair will eventually break out to the upside, and once we get above the 1.33 handle we feel that the market would then go to the 1.35 level. We have no interest whatsoever in selling, we believe that the absolute “floor” is in the region of the 1.30 handle. Ultimately, we have no interest in hanging onto a trade until we break out to the upside, and recognize that we will continue to see a lot of volatility.
