Weekly forecast of USDX and USD/CAD for June 23-27, 2014

USDX

The index was unable to
cross the 40-week Ema in the early hour of Asia’s session and started moving
to the lower levels. Currently it is trading at 80.26, the lowest point of the day
as of now. On the down side, it has support at 80.20 and 80.10 (50-day Sma). On the upper side, if it has resistance at 80.44 (200-day Ema), above this 80.66 and 80.71 levels. This weeks trading pattern will
frame between 80.10-80.44 levels. We recommend
to buy with sl 80.10 if the index comes near 80.20-80.20 levels. We can see strong upside momentum only above
80.40 for an intraday basis.

USD/CAD

The pair opened its
session on a highly bearish note higher at 1.0761 levels. It has strong
support at 1.0711 (50-week Sma). Currently it is trading at 1.0731 levels. The
trading pattern is framed between 1.0711-1.0761 levels. On the down side, if the pair breaks the
1.0711 levels, we can see another round of selling up to 1.06 levels. On the up
side, if it breaches 1.0761, it can spike up to 1.0814 levels. Until the pair trades below 1.0761, selling on the rally is the best strategy.

The material has been provided by InstaForex Company – www.instaforex.com