USD CAD Has Room to the Upside

The USD CAD chart indicates more room to the upside, but this pair may have to correct one more time to attract fresh buyers.

The USD CAD closed lower on Friday but this pair is still in a position to move higher.  The charts indicate that there is still room to rally as the next major target is up at 1.1922 to 1.2191.

There was a confirmation of yesterday’s reversal top at 1.1637 but the market could not follow-through with much conviction.  Based on the short-term range of 1.0941 to 1.1637, even a retracement back to 1.1289 to 1.1207 will not change the trend to down and probably offer another buying opportunity. 

Look for higher markets over the intermediate term, but do not be surprised by a short-term pull back before the next leg up begins. The structure of this market depends on what this pair does following a test of 1.1289 to 1.1207.

James A. Hyerczyk has been actively involved in the futures markets since 1982. He has worked in various capacities within the futures industry from technical analyst to commodity trading advisor. Using W. D. Gann Theory as his core methodology, Mr. Hyerczyk incorporates combinations of pattern, price and time to develop his daily, weekly and monthly analysis. His firm, J.A.H. Research and Trading publishes The Forex Pattern Price Time Report... More