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"We're still watching a lot of these European headlines and now there's a question on people's minds on the European front as to 'What's next?"
- Greg Moor, TD Securities (based on Wall Street Journal)
Pair's Outlook
The US dollar picked up against the Canadian dollar, erasing some of Friday's losses. If bullish momentum strengthens further, an initial resistance at 1.0170 (PP Weekly) is likely to be faced by bullish investors. A breakout here would expose the second and third levels at 1.0229 (55-day SMA) and 1.0298 (Upper Bollinger band; R2 Weekly), respectively.
Traders' Sentiment
59% of investors are long on USD/CAD, expecting the US dollar to appreciate against the Canadian dollar, while 41% of currency traders expect an alternative scenario. The allocation of positions point at a neutral sentiment as only 51% of investors keep long positions and 49% of market participants hold short positions.
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