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Forex Alerts 1/5/2009

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Alert - 17:15 (CET) - Loonie hits Dollar hard, as the crude price climbed



The UsdCad is trading at 1.1894, ranging between 1.1872 and 1.2225. Checking the hourly graphics, we see that the 20- and 50-day EMA are under the 200-day EMA.

The supports are watched at 1.1820 (December 18th high), 1.1657 (October 11th low) and 1.1464 (November 5th low). The resistances are set at 1.2365 (December 31st high), 1.2666 (December 10th high) and 1.3000 (key).

This session has been very good for the Canadian Dollar, climbing due to crude price hike, advancing 1.28% against the US Dollar. Apart from the calm in the stock markets, that prompts a let go of safe havens like the Dollar and the climbing of commodities, the crude barrel has also gone up due to the Middle East tensions, given the conflict between Israel and Hamas.

Meanwhile, the 60-minute RSI is at 30 points, oversold. The volatility per hour could reach 570 pips. The current price is over the 38.20% (1.1777), and under the 50.00% (1.2622) Fibonacci retracement lines.



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