Prices rejected and reversed from key of $1.29100 last week, a strong .
As the US has been driving the USD down, CAD has been restrained by low oil prices and uncertain metal prices. Metal & oil seem poised to take off which will strengthen the CAD. Inflationary pressure is growing in Canada, primarily from housing prices which surged but have just recently moderated.
On the , I am expecting a reversal and drop to the 200 (1.27) or 100 (1.26) before attempting to challenge to 1.29100 again.
Targeting a new short entry this week within the 1.28400 to 1.28600 (march contract) range with stop at 1.2900
R/R: 500/1500 - 3:1 lower than desired but still reasonable if prices could fall to 1.26 (4:1)