USD/CAD Price Analysis: Pull-back underway post Fed volatility
|
USD/CAD has been pressured mid-week following an irregular reaction to an uber hawkish Federal Reserve meeting from overnight.
The US dollar was put under immense pressure and the jury is still out on the cause other than there was no specific confirmation of when a rate rise will come about and economic performance remains the key. Additionally, position squaring into the eleventh hour of the holiday season could have played a role.
Meanwhile, the price on the hourly chart is starting to correct from the post-Federal reserve sell-off.
USD/CAD H1 chart
This leaves the Fibonacci scale vulnerable for a significant test of the 38.2% retracement that has a confluence with the prior structure near 1.2860/80 for the coming sessions.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.