The USD/CAD fell for the session on Friday as the oil markets rose, and the threats of coordinated central bank reactions to Greek news on Monday crept into the market. The risk appetite is much higher now than it was just a couple of sessions ago as a result, and the CAD gained because of this.

The 1.02 level remains as a hurdle for the bears, but the opening on Monday could very well be a gap below it. The breaking higher on a gap will be met by central bank resistance sooner or later. Because of this, we would actually fade a gap up if we get it. If not – a couple of hours spent sub-1.02 is enough to sell this pair for us.

Click here for further USD/CAD Forecast.

Originally posted here