USD/CAD Forecast for the Week of Nov. 21st, 2011, Technical Analysis

USD/CAD continued to hang about in its recent consolidation area for the week, but is pressing the top of the range in the form of the 1.03 level. The pair had recently broke out of consolidation and popped, fell back and retested the parity level, and now looks set to continue the upward momentum. On a daily close above 1.03, we would be long of this pair as the oil markets looks particularly vulnerable at the moment too. The “risk off” trade is what will push this pair higher. We don’t sell at the moment, and wouldn’t until a close below the 0.99 level.

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