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"You just have to trade the summit headline by headline. If you had to take a directional view and stick to it, expectations going into the summit are so low, there has to be some risk of a pleasant surprise, which would be risk positive."
- Adam Cole, RBC Capital Markets (based on Bloomberg)
Pair's Outlook
The US dollar is trading slightly higher compared to yesterday against the Canadian dollar. As the pair failed to breach the 1.0241, USD/CAD is likely to move higher and 1.0323 (R1 Weekly) is going to be an initial resistance in case of such event. If the bullish momentum intensifies, 1.0375/90 (Upper Bollinger band; R2 Weekly) and 1.0464 (R3 Weekly; Upper resistance level) are going to be the next targets.
Traders' Sentiment
Disposition of long and short positions on USD/CAD remains unchanged, as bulls constitute 35% of the market, while the portion of bears is 65% at the moment. Currently, the majority of market participants (54%) expect the US dollar to dive further against the Canadian dollar.
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