Most pairs especially the Loonie are caught up in congestion zones forming flag patterns and ascending triangles.The Gbp/Cad has formed a pennant which is a continuation pattern on the daily chart.A break above the consolidation will be headed for the previous highs of 6381 which is a previous resistance.
Eur/Cad has also formed a pennant with a trend line from the 23rd August candle.The pattern is supported by the 50 and 20 MA's that are moving together with the trend line on the lower side.A break above signals a bullish move towards 4300 which is a previous resistance back in August.I will wait for a break and a pull back to enter.
Eur/Nzd has a similar formation to Eur/Cad which will target the 7600 on the daily chart.
Aud/Cad is caught up in a congestion zone that has been well supported over the days since mid July 2011 to date forming lower highs each time it gets to the top.I will be looking for a short sell today to the support line at 1.0232 and then further lower once the line is tested and broken.
Good luck trading,these are my thoughts of the day.Today is Friday so be very careful especially with the news of the demise of the King of Kings Mommar Gaddafi.It may affect the movement of commodity pairs that are heavily reliant on Oil as an export and the WTI oil prices.
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