USD/CAD - Edged Sharply Higher - Rose 1.7% - 01/19/2017 (GMT)

One of the worst performing currency yesterday was the Canadian dollar, which plunged after the Bank of Canada’s monetary policy announcement. It was a key day for the direction of the USD/CAD pair as it surged more than 1.7% after an aggressive movement to the downside in the previous trading sessions. The pair failed to meet the 1.3300 critical resistance psychological level, however, it may reach it today. The 50 and 100 daily SMAs seem to be strong obstacles of the price and we may see a pullback on that level.

Otherwise, if the market helps the price to keep moving to the upside, the next level to watch is the 1.3400 handle. Technical indicators moved higher while the RSI indicator stuck slightly below the 50 level whilst the MACD oscillator surpassed above its trigger line.