Short USDCAD - Oil coming back and dollar weakness

17 Nis 2017

I know not many people may agree with me right now, but I have the USDCAD as a short in my book. Now, it is true she is being squeezed... Both by a short term downward trendline(blue) and also being squeezed up just above the 50day MA (pinkish) - I am hopeful she is going to flutter down until meeting the long term upward trendline (red) so around 1.32681. If she breaks above and closes above that blue trendline, I will likely exit and be looking for a buy as it will mean that she's bounced off the 50 day moving average as well.

I still believe she's going to continue down and break down though, mainly due to oil prices and also the fact that the USD is looking to start getting weaker soon.