USD/CAD Forecast February 17, 2016, Technical Analysis

The USD/CAD pair initially fell during the day on Tuesday, but turned around and shot higher. By doing so, the market looks fairly healthy and it also looks as if it should reach towards the 1.40 handle. A break above there would be very strong, but at the moment we feel that short-term traders will continue to buy this pair on a slight pullback as well. We have no interest in shorting this market, especially considering how poor the oil markets have behaved during the day after initially trying to show strength. The Canadian dollar should continue to weaken.