© Dukascopy Bank SA
"There has seem to be some signs of traction in the U.S. housing market, which has been very good for Canadian manufacturers. Their houses are built in the U.S. but a lot of their raw materials come from over here."
-BMO Capital markets (based on The Wall Street Journal)
Pair's Outlook
Pair picks up pace after few slow days as monthly S1 at 0.9769 did not provide strong resistance. However, weekly R1 and 20 bar SMA around 0.98 have paused pairs development. Technical indicators point at upcoming bearish rally on the pair, but as pair seem to be driven purely at traders sentiment it should not experience much difficulties up to weekly R2 at 0.9868.
Traders' Sentiment
Gap between bulls and bears continues to increase, additional 3% of traders started holding long positions on the pair (75% of all positions are long at the moment). Amount of pending buy orders has not changed a bit (63% of all posted orders) suggest a further domination of bulls in the market.
© Dukascopy Bank SA