© Dukascopy Bank SA
"We're essentially just range trading and consolidating at the moment."
- TD Securities (based on Reuters)
Pair's Outlook
Following a breach of a two-month up-trend to the downside, USD/CAD managed to find support at 1.0858, where the Apr low coincides with the 55 and 100-day SMAs. And while there is a substantial possibility of the pair crossing the 200-day SMA at 1.0940, there is a low chance of it surpassing the August high at 1.10, even though most of the monthly technical indicators are presently pointing upwards.
Traders' Sentiment
The bullish sentiment with respect to USD/CAD is getting stronger—the portion of long positions rose from 65 to 68%. In the meantime, the distribution between the buy and sell orders became skewed in favour of the latter—42 and 58% respectively.
© Dukascopy Bank SA