Canadian Dollar Reaches Yearly Highs Against US Dollar
by Rebekah Manning
The US dollar has decreased more than 10% against the Canadian Dollar since March and has reached new yearly lows. As world economies stabilize, investors are starting to move capital away from the US, which is seen as a safe haven, and into riskier, higher yielding assets.
Technical Perspective:
Candlestick Analysis: Bullish pattern indicating increased downward potential
Fibonacci: Already closed below 1.1750. Next strong support level is at1.1655. Look for little downward resistance until then. If USD/CAD closes the next session above 1.1750, reverse position with limits at 1.1819 and 1.2250
Fundamental Perspective:
As economic reports continue to come out positive, investors have less of a reason to keep funds in low yield, economic safe haven USD. If economic reports continue to surprise on the upside, look for a weakening dollar.
About the Author - Rebekah Manning
Rebekah started in the Forex industry as an intern in 2001, and worked her way up the ranks to a C-level management position. She enjoys the field of trading as well as MMA fighting, shooting ranges, and action movies.
