Wednesday, October 5, 2011

USD/CAD - The Loonie Looks Bearish

USDCAD: The Loonie put in a bearish Shooting Star candlestick below 1.06.

This is hinting that a pullback is possibly ahead.

Deeply overbought RSI studies reinforce the case for a bearish scenario.

Initial support is at 1.0362. This is the 23.6% Fibonacci retracement level. I maintain a broadly bullish outlook on the pair.

Posted by David Frank, Avafx