Forex: USD/CAD testing support at 0.9856/60

FXstreet.com (Barcelona) - The USDCAD has recently lost its way as a multi-tiered fall in the exchange rate has occurred throughout the European session Thursday. Having traded overnight at 0.9883 (session high), the downward spiral commenced, culminating in an establishment of fresh lows down to 0.9850, however presently the pair has settled at 0.9856/60.

Later this afternoon in the European session, trading will be dominated by news out of both the UK and EMU regarding interest rate decisions. However, in regards to Canada, a trickle of housing data will permeate this European-dominated landscape at 13:30 GMT. Meanwhile, investors grapple the steadied rise of crude, which trades positively at +0.10% at USD $93.19.

According to Mark De La Paz, an analyst at FX Instructor, "The USDCAD is in a bear market with a low level bullish candlestick pattern suggesting the outbreak of a Bullish Harami. We consider buys off the immediate support 0.9860, or onto a bullish confirmation from the subsequent candlestick - a close above 0.9870 will have us looking for a rally towards 0.9885."

Presently, the USDCAD is trading negatively at a rate of -0.21%. De La Paz cites supportive means at 0.9860, 0.9845, and ultimately 0.9835. On the ascension, the pair will face calculated resistance at 0.9870, then 0.9885, and finally 0.9896.