Morning Report

Since yesterday, the dollar versus loonie is attempting to retest breached main support presently at 1.0455, while the closing the four hour candlestick below it; giving off signs that more bearish short term movement over an intraday basis is expected for today. However, it is important that the bullish signs appearing on momentum indicators could cause some mixed trades, with chances of some minor bullish corrections every once in a while. It is vital that the four hour close remain below 1.0455 to maintain chances of achieving the expected bearish direction, where its coming targets are around 1.0315 then 1.0200.

The trading range for today is among the key support at 1.0200 and the key resistance at 1.0610.

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 1.0445 targeting 1.0315 and stop loss above 1.0525, might be appropriate.