USDCAD bounces from key levels
22nd June 2015
Although lower levels were posted last week for a 2nd week in succession, and net losses produced, the real USDCAD story was less clear.
The downside stalled, and found buyers, near a 50% pullback point and a Marabuzo line created 4 weeks previously. The subsequent bounce regained more than half of the initial downside.
However demand lacked the momentum to break through the trend defining 13 day moving average and with the daily Keltner channel angling lower the underlying tone for sentiment is assessed as mildly negative.
This forecast has to be a cautious one until last week’s 1.2125 low is exceeded but below that USDCAD potential exists to 1.2004 or even towards 1.1916.
