USD/CAD's winning streak ends

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"This week we remain cautious on the CAD in particular ahead of the Bank of Canada meeting on Wednesday. A trigger for an immediate rate cut is probably lacking, but given that exports are yet to show a robust recovery the BoC should signal all options remain on the table." 
- BNP Paribas (based on WBP Online)


Pair's Outlook 
At the end of the previous week the US Dollar weakened against its Canadian counterpart, despite the rally at the beginning of the trading session. The Greenback reached out to 1.2670, before edging lower and settling at 1.2567, and in the end the decline turned out to be not as large as expected. Right now, despite the bearish technical indicators, the price is rising, but the monthly pivot point should provide enough supply to limit the gains.

Traders' Sentiment 
The portion of bullish traders declined one percentage point, and now 73% of participants are long the Greenback. At the same time, the number of orders to acquire the US Dollar increased, as 34% of commands are set to purchase the Buck (previously 31%).
© Dukascopy Bank SA

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