1/17/2012 BOC Rate Statement / Overnight Rate (0400 HI time / 0900 EST)
Previous Revision: n/a
SPIKE / REVERSAL
Started @ 0.9831
1st Peak @ 0.9847 – 0401 (1 min)
Reversal to 0.9821 – 0404 (4 min)
Notes: The BOC left its main interest rate unchanged today citing continuing global economic gloom, and moderate growth in Canada, but a forecast a faster Canadian recovery than expected. The market reacted with a small spike upward, then indecision. The upward spike crossed all 3 major SMAs and peaked at the S1 line. Exit at about 0.9844 after it hovered in that area for 7 seconds before reversing. Keep an eye on the following candles for a long term trend. In this case, the reaction become indecisive with a small overall downward trend, but would not be safe to enter another trade.