Will the 1.3000 QUADruple top in the USD/CAD hold?

Finding a bottom in the sinking loonie has been eating many forex account alive.  Following trends in a market that in trending may sound logical but it’s a fact that far too few traders consider.  The objective is to locate the “next trend” in a market and while an initial momentum trader many continue on and develop into a trending market, waiting for the correction can try a trader’s patience.  Trader’s (almost by design) seem to not be a patient species.

The 1.3000 level has held as a ceiling since October 2008 and with now four tests of the “000″ psychological level, there is still a chance that even with 1) crude oil strengthening and 90 proving to be a formidable ceiling in the U.S. Dollar Index that the resistance on the daily USD/CAD will hold.

Realize that much of the bad news that conitnues to spill out of Canada has been discounted.  Unless crude oil resumes the downtrend and the U.S. Dollar breaks 90.00 there is a good chance that 1.3000 will once again entice short sellers.