USD/CAD Forecast February 2, 2016, Technical Analysis

The USD/CAD pair initially trying to rally during the day on Monday, but turned back around to fall rather significantly. As we approached the 1.39 level, we have to recognize that oil is getting a little bit of a reprieve. However, in this marketplace we see the potential for significant support near the 1.38 level. So it is not until we get below there that we feel comfortable selling. That’s not to say that we have any reason to buy this pair at the moment, because we don’t. However, we recognize that we are getting close to having to some type of decision.