© Dukascopy Bank SA
– based on Bloomberg
Pair's Outlook
The US Dollar surged by midday on Monday against the Canadian Dollar. However, the day's trading session started a lot lower than the previous close, as on Monday morning the rate was at 1.3245, compared to the previous close of 1.3301. The fall was expected, due to the exchange rate reaching the long term ascending channel pattern's upper trend line, as the pair has shown that a close near the resistance line indicates at an upcoming session of losses for the Greenback against the Loonie. The rate now is most likely to begin a month long move lower to the channel's support line.
Traders' Sentiment
Traders increased their bearish sentiment, as 68% of open positions were short on Monday. In the meantime, pending commands are almost neutral, as 52% of set up orders are to buy.
© Dukascopy Bank SA