There was USD Strength today against the CAD but prices still managed to close below the daily 8 ema amidst the price rejection from 1.37 in the European session. We still seem to be in a range at the moment between 1.397 and 1.375.  A price closure above 1.40 would push prices back to the upside as a close below 1.37 support would give way to a lower level.

We could expect higher USDCAD prices in the next day or so as Oil seems to want to push lower, but I wouldn’t be surprised to see higher Oil prices by the end of the week, as we are still keeping an eye on last week price action signal and a retracement for a good entry as mentioned in the weekly post.

This market is really dominated by sentiment at the moment, and it would be a good idea to keep an eye on whats going on in the world of Oil for further strategy. Here is an interesting article I found on what is going on at the moment.

http://www.bloomberg.com/news/articles/2016-02-16/the-glaring-problem-with-oil-giants-production-freeze-chart

USDCAD D1 USDCAD-D1-16-02-16-1024x374

WTI D1

WTI-D1-16-02-16-1024x376

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