USD/CAD finds backing at 1.0212

USD/CAD was close to breaching a combination of the 55 and 100-day SMAs, but at the moment is challenging the nearby resistance zone at 1.0267/51. The currency pair will need to overcome this to reinstate the bullish outlook. Meanwhile, the rally is brittle and may be reversed in an instant, meaning that downside risks are presently dominant, regardless of technical studies' signals.

Right now loonie is one of the least preferred currencies in the SWFX market, in all the crosses merely 27% are bullish on it. The situation in USD/CAD is a little brighter, 29% of traders expect the currency to gain relative to the U.S. Dollar. However, the percentage of buy orders dropped significantly, from 57% to 48%.