Morning Report

The main descending channel is organizing the dollar versus loonie trades that had pushed the pair to move to the upside, after touching its main support levels; where the mentioned bearish technical pattern targets were achieved at it in our previous report. The bullish technical pattern is presently forming and requires some minor bearish correction to build a base on levels around 1.0465 - 1.0445 and then start the expected bullish intraday wave; breaching through it the resistance level for the descending channel, mentioned above.

The trading range for today is among the key support at 1.0335 and the key resistance at 1.0350.

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 buying the pair from 1.0465 targeting 1.0545 and stop loss below 1.0420, might be appropriate.