USD/CAD In Between The “Goal Posts”

Earlier today, BOC Longworth commented on the strength of Canadian dollar may slow growth.  The comment supported the USDCAD (CAD$ down) and pushed the pair between the “goal posts”.  The “goal posts” in my venacular is when the price moves between the 100 bar MA and the 200 bar MA. In this case, the price moved above the 100 hour MA at the 1.0703 level but remains below the 200 hour MA at the 1.0733 level.

Typically a move outside of this range leads to momentum in the direction of the break.  The inclination is to find support against the 100 hour MA at the 1.0703 level with a move above the 1.0733 acting as confirmation of the bullish bias.  Look for buyers on dips.  A move above 1.0733 will target 1.0785 (see chart).

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