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- Credit Agricole (based on Business Recorder)
Pair's Outlook
The Loonie surprised with its performance yesterday, boosted by the Canadian GDP results more than expected. The USD/CAD dropped down to the weekly S1 at 1.3391, but closed trade still above the 1.34 mark. Not only this support succeeded in holding the pair from falling deeper, now it is also reinforced by the Bollinger band. Nonetheless, the closest resistance lies out of reach around 1.3635, represented by the weekly PP and the 100-day SMA. The 1.35 major level might be retaken today, but a surge beyond Tuesday's high is unlikely, in spite of a decline in oil prices allowing the Buck to inch higher against then CAD.
Traders' Sentiment
Today 55% of all open positions are long, compared to 53% on Tuesday. Meanwhile, the number of orders to purchase the Greenback slightly declined, namely from 74 to 65%.
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