USD/CAD Is Falling Toward 1.2850, as I Thought It Would

The announcement of the NFP data was the catalyst that sent the pair falling down towards target 1.2850 – 1.2800.

By the way, this move to the downside has been expected for the past seven days and I wrote about it yesterday, 2nd June>>>  – and I did not have to wait long for my analysis to come true. The news caused the pair to fall with over 170 pips for less than 30 minutes.

What can we expect next? As usual, there are two probable scenarios.

In scenario number one, the pair will continue dropping, at least until it reaches 1.2700 – 1.2690, in scenario number two we can expect the pair to start rising again once it reaches the zone around 1.2850 - 1.2800.

Don’t be upset if you haven’t been able to trade the drop. It is reasonable to expect the inevitable correction that will likely happen before the market closes today or in the beginning of the next week, which will give you the opportunity to open new short positions. After all, there no less than 80 pips which can be traded until the pair reaches the target.