The Canadian dollar was very strong yesterday after the BoC increased interest rates by 25 bps, we saw USDCAD fall a few hundered pips then when Poloz spoke later yesterday CAD continued to get stronger, with CAD having gone too far yesterday i am expecting a pullback from traders who are taking profit from yesterdays significant move. Participant will be looking to take profit and then sell at a higher price, CAD is looking very bullish and USDCAD could be weak for quite some time especially with all the uncertainty coming out of the United Stated.


This chart shows a beautiful technical move from WM3 to the weekly profit target for bears. and with this having happened we could see price retrace back up too 1.284 or 1.29 but ideally i would like to see it move to the role reversal and sell. For bulls, we are currently at the profit zones and support so the could look for opportunities to go long using a lower time frame waiting for a higher high and entering on the pullback


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