Morning Report

Main support continues - breached resistance turned into support - pushing the dollar versus loonie to move to the upside and continue its trading within the minor ascending channel organizing the pair's fluctuation since the tenth of the current month. Reaching resistance 1.0590, comes inline with the stochastic entering overbought areas and keeps chances of the bearish direction returning once more; thus, we expect a bearish intraday for today as the last chance to reverse to the overall downside, which requires stabilizing below 1.0445. Chances of achieving a bearish trend will prevail if the daily close is not achieved above 1.0560.

The trading range for today is among the key support at 1.0360 and the key resistance at 1.0715.

The general trend is to the downside as far as 1.1870 remains intact with targets at 1.0000.

RecommendationBased on the charts and explanations above our opinion is selling the pair from 1.0590 targeting 1.0445 and stop loss above 1.0660, might be appropriate.