USDCAD Jul 18 to Jul 22 Outlook
Multiple news shocks caused both Loonie and Aussie to swing wildly. This week is a good example showing that when the participants are more emotional, you get the more natural Fibonacci price level of 1.618. That happened in the beginning of the week when Canadian dollar rallied above Y+2. Ended the week however, down at our original target of Y-2 at 200% absolute range expansion.
The spike up in the past week actually give more fuel to the downside than helping the pair to find a decent bottom. Since this coming week will clearly be affected by news coming from US, it is best to stay off longer term trade on this pair and focus on intraday setups only.