USD/CAD soars to 1.0089/71

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Very few regions are immune to the negative impact of the high Canadian dollar. It's not surprising the currency would weaken on such a dismal report [on manufacturing sales]."
- BMO Capital Markets (based on Reuters)


Pair's Outlook

USD/CAD did not even require a pullback down to the 200-day SMA at 0.9940 in order to fully regain bullish impetus and spike up to the interim resistance at 1.0089/71, which guards a subsequent level at 1.0107/06—a key to a rally up to the upper edge of the bullish channel the pair has been trading within for the past six months. Still, technical indicators are silent for now.

Traders' Sentiment
The currency pair has become a little more overbought than yesterday, since bulls now constitute 66% of the total number of traders in the SWFX marketplace. The positive outlook is also reinforced by the fact that 72% of orders placed are to purchase the U.S. Dollar.
© Dukascopy Bank SA

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