Budget to be released at 4 PM ET/2000 GMT
The Canada budge will be released at 4 PM ET. Adam has posted his preview along with links HERE.
Technically, the price has been moving higher and lower in trading today, but trades near the day's low.
Looking at the 4- hour chart above, the price has been tracking a lower trend line since Feb 10. On Thursday/Friday, that trend line was broken. The sellers tried to keep the lid below that line, but on Monday, the price moved back above the line and some minor short covering ensued.
The price currently sits at 1.3038 which was the lowest low going back to November 3rd (until last weeks break that is).
If the bullishness for the CAD is to continue a move back below this level will be step 1. Looking at the chart, the move below that level last week, tried to keep a lid on it on corrections. When it moved back above that line on Monday, the tests yesterday and again today has not been able to push too far below that level. So buyers seem to be leaning against the area as support.
SO on a move below the level, it should open the door for further selling and a test of the lower trend line once again. That level comes in at the 1.2955 area. A move to the line can expect buying interest - just because (see line with lots of successful tests below). A break below that line will have the low from last week at 1.2922 as the next hurdle to get to, and through.
ON the topside, the 50% of last weeks move lower comes in at 1.3163. That level nearly lines up with the low from March 10th at 1.3166. So a move above that area (and staying above) will be more bullish. Above that, and traders will be eyeing the channel topside trend line and 100 bar MA which happens to be tracking that line at 1.3258.
