Currency Chart - USD to CAD Daily Chart 16th April 2009

Yesterday’s wide spread down bar added continued momentum to the bearish move in the usd to cad currency pair with all three moving averages adding considerable pressure to the downward trend which broke through a strong region of resistance and has now cleared the way to retest support at the 1.18 level.  Hopefully you followed by trading suggestions yesterday and you should now be moving your stop losses down to lock in any profits.  Do not be surprised any short term reaction back up as the market takes a breather, and use these opportunities to open new medium term short positions as you build towards a profit target in the 1.1750 – 1.800 region.

The only item of fundamental news specific to the Canadian Dollar is due out later this morning and is the data for manufacturing sales which measures the change in the total value of sales made by manufacturers, and is generally considered a leading indicator of the economy.  The forecast is for 2.1% against a previous of -5.4% showing an improving picture which if it continues may well have a positive effect on the Canadian Dollar adding to the trend currently in place.  All the US news is covered in the euro dollar site.

You can keep up to date with all the latest fundamental news on the economic calendar, latest currency news and live currency charts by simply following the links.  I have also included details on an excellent ECN broker.