USD/CAD rallies from the Bollinger band

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"We've had the trauma in Cyprus and we have the Bank of Japan trying to actively weaken the yen, and in a world such as that, the Canadian dollar looks like a relatively safe harbor." 
- Bank of Montreal (based on Bloomberg)

Pair's Outlook

Pair has appreciated by more than 100 pips already after receiving a bullish impetus from the Bollinger band earlier in the session today. Technical indicators, however, suggest that pair should give in a bit before picking up again. Pair is likely to pick up the pace again after touching either 20 or 55-day SMA. 

Traders' Sentiment

Market sentiment remain stable as bulls, which account for 70% of market participants, continue to dominate in the market. Distribution of pending orders does not suggest that we might see any changes any time soon as 86% of all pending orders are to go long on the pair as well.

© Dukascopy Bank SA

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