USDCAD: With USDCAD building up on its upside offensive the past week and maintaining its bullish bias, there risk of further strengthen towards the 1.0250 level. A cut through here will call for a move higher towards the 1.0284 level, its Jan 13’2012 low. Further out, resistance resides at the.0317 level followed by the 1.0423 level, its Dec 14’2011 high. Its daily RSI is bullish and pointing higher supporting this view. On the downside, on any pullback, the 1.0145 level will be targeted with a push below there allowing for a run at the 1.0048/51 levels. A reversal of roles as support is likely to occur here and set the stage for a move higher. But if this fails, more declines could follow towards the 0.9798 level and then the 0.9724 level, its Aug 31’2011 low. All in all, the pair remains biased to upside on further strength.
