--- Follow up analysis --- The pair USD/CAD has failed to get over the psychological level at 1.0 and that led to bearish reversal. The price is currently testing the lower band of its medium term bullish channel (purple lines) and also the major support at 0.9889. The last movement has occured into a short term bearish channel (blue lines).
We are neutral at this time between 0.9889 and 0.9934. We advise to wait an exit of this range to take position: - Long in case of return above 0.9934. We could then target a new test of 1.0 - Short in case of breakout of 0.9889 (the exit of the bullish channel will be also validated). The first objective will be set at 0.9819.
Analysis published by Bruno, the 11/07/2012 at 8h59 GMT+2