Technical outlook and chart setups:
The USD/CAD pair has has been rallying from 0.9700 levels and a major support has now been formed at 1.0600 levels as seen here. The pair has hit a temporary resistance around the 1.1350 levels and is seen to be pulling back at the moment. Minimum drop could be up to the 1.1093 levels i.e fibonacci 0.382 support. A push below that could drag prices towards 1.0912 i.e fibonacci 0.618 support. Hence, it is recommended to initiate 50% short positions at current price 1.1160/70, risk remains at 1.1300. Support is seen at 1.1100, followed by 1.0850 and lower, while resistance is seen at 1.1300, followed by 1.1350 respectively.
Initiate 50% short positions now, stop above 1.1300, target is open.
The material has been provided by InstaForex Company – www.instaforex.com