USD/CAD continues to consolidate

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"You've got to be long the [US] dollar at the moment. It's more of a trading position rather than a structural long-term position because the big moves are largely behind us." 
- Credit Suisse Group AG (based on Bloomberg) 

Pair's Outlook 
The USD/CAD almost completely negated Thursday's gains on Friday, but was unable to reach the second support area or fall under the 1.26 mark, even though Canadian fundamentals provided a strong boost for the Loonie. Technical indicators shifted from neutral to bearish, suggesting that more USD/CAD weakness is to follow. Moreover, the Greenback's attempts to recover are being dragged down by the monthly S1 at 1.2722, now bolstered by the weekly PP. The 1.26 major level also remains a solid psychological demand area, thus, flat trade is also a possibility. 

Traders' Sentiment 
Today 58% of traders have a positive outlook towards the American Dollar, opposed to 59% last Friday. Meanwhile, the share of buy orders edged down from 66 to 45%.
© Dukascopy Bank SA

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