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Wednesday, January 9, 2013

$USDCAD

USDCAD closed slightly lower on Wednesday as it extends the trading range of the past five days. The low-range close sets the stage for a steady to lower opening when Thursday's night session begins trading.

Stochastics and the RSI remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March renews the rally off December's low, the reaction high crossing at 102.10 is the next upside target. Closes below the reaction low crossing at 100.62 would confirm that a short-term top has been posted. 

First resistance is December's high crossing at 101.58. 
Second resistance is the reaction high crossing at 102.10. 

First support is the 10-day moving average crossing at 100.83. 
Second support is the reaction low crossing at 100.62.