USDCAD: Threats Remain To The Downside.

USDCAD: As a challenge on the 1.1995/82 zone, its April 16’09 low/daily 200 ema was seen on Wednesday and a continuation of that weakness saw the pair weakening in early trading today, risk of a decline towards the 1.1771 level, its Jan 07’09 low is now shaping up. This view is consistent with its declines triggered off the 1.3064 level in early Mar’09.Next support lies at the 1.1464 level, its Nov 05’09 low. Additional evidence is being provided by its daily momentum indicators which are bearish and trending lower. On the upside, initial resistance lies at the 1.1995/82 zone ahead of the 1.2192 level, its Mar 19’09 low followed by the 1.2335 level, its daily 50 ema before the 1.2506 level and then the 1.2712 level, its April 01’09 high. We retain our short term bearishness on the pair. On the whole, USDCAD has resume its weakness off the 1.3064 having taken out the 1.1981/95 area.

Support Comments

1.1771 Jan 07’09 low

1.1464 Nov 05’09 low.

1.1304 Oct 14’09 low

Resistance Comments

1.1981/95 April 16’09 low/daily 200 ema

1.2071 April 24’09 low

1.2192 Mar 19’09 high

This is an excerpt from FXT Technical Strategist Plus, a 7-currency model analysis. Take A One Week Free Trial atwww.fxtechstrategy.com

This report is prepared solely for information and data purposes. Opinions, estimates and projections contained herein are those of FXTechstrategy.com own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed to be reliable but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which FXTechstrategy.com incurs any responsibility. FXTstrategy.com does not accept any liability whatsoever for any loss arising from any use of this report or its contents. This report is not construed as an offer to sell or solicitation of any offer to buy any of the currencies referred to in this report