The USD/CAD pair initially fell significantly during the course of the session on Friday, but found enough buyers below to turn things back around and form a hammer. The hammer of course suggests that we could bounce from here, so we need to pay attention. A move above the 1.30 level would be a very bullish sign, and at that point in time we would be more than willing to start buying this market as we are in an uptrend over the longer term, and have certainly been oversold recently. If we break down below the 1.28 level, that’s a very negative sign and has us selling.
