USD/CAD bounces from the 20-day SMA

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"One piece of good data is not going to be enough to turn the trend, and the trend in dollar/Canada is still higher for the greenback. There's been a lot of negative economic releases, apart from last week's employment data, which have been negative for the Canadian dollar." 
- Bank of Nova Scotia (based on Bloomberg)


Pair's Outlook

The pair touched the 20-day SMA yesterday and that sparked a bullish impetus, bringing the price back to the weekly PP level at 1.0285.Perspectives of a further movement are very ambiguous, as the loonie is traded flat last two weeks, upper boundary is the major resistance at 1.0326 and the lower is the 20-day SMA with the weekly S1 at 1.0250/1.0233 area.

Traders' Sentiment
Bulls strengthened their positions by 1% overnight, expanding the share to 56%. Bears' piece of the market contracted to 44%. Waiting orders segment masses on a bullish side with 71% of placed orders and only 29% are pending orders for short positions.
© Dukascopy Bank SA

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