This pair is a very volatile pair and dangerous for trading. The recent weeks made the picture unclear, but the pattern that appears in the daily chart might suggest that the USD is about to rise against the CAD. On the weekly chart, we see the "Double-bottom" pattern around 0.944, which means that strong buyers waited there and did not let the USD fall. Investors, who see this pattern and understand the meaning of it, started buying the USD, which is now facing again the strong resistance at 1.0. The weekly chart shows that the USD might hit 1.04-1.05 if it successfully breaks through this resistance.
The bullish momentum of the USD against most of the currencies influences on the NZD as well. It tried to rise after the sharp declines on the beginning of the previous month, but the sellers are taking over again. A "Head & Shoulders" pattern appears on the weakly chart, supported at 0.82. A strong break-down here might slide to the 200 SMA at 0.79.
The NZD official cash rate is published on Wednesday.
