Who likes a spooky comparison?
USD/CAD trading just below 1.14 then breaks up to a high of 1.1427 before falling back to 1.1390, all the same figures and moves from yesterday in USD/JPY.
Number spookiness aside, the break up has put us within reach of the top of the 2011 uptrend.
USD/CAD Weekly chart 04 11 2014
That trendline comes in at 1.1436 and after it there’s a big old gap to the 61.8 fib of the 2009/2011 hi/lo.
The pair looks to be playing out the moves in oil so given the way the US dollar is doing virtually nothing elsewhere the level looks fairly good for a short. With not much resistance behind it though I’d look to keep a stop fairly tight but I need to catch up on what we have on the order and option front above as the tech is pretty nonexistent.
