USD/CAD focused on reaching May high

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"In the light of the disappointing retail sales data seen on Tuesday, not to mention an apparent loss of momentum in the labour market in June, there is a chance Ms Yellen may use her testimony to emphasise the risks of raising rates too early." 
- CMC Markets (based on WBP Online) 

Pair's Outlook 
Although the USD/CAD went over the 1.28 major level yesterday, the day still ended with the pair suffering minor losses. The immediate support was not reach, as the Greenback settled at 1.2735. The main target for the US Dollar today is reaching the May high at 1.2834, while there still remain other resistances on the Buck's path. If the Fed's statement boosts the US currency enough, we could potentially see the given pair even reach the upper Bollinger band at 1.2880. Meanwhile, technical indicators keep giving bullish signals, but not as strong as before. 

Traders' Sentiment 
Bears keep dominating the market, as 72% of all positions are short (previously 73%). The share of buy orders edged up from 36 to 46%.
© Dukascopy Bank SA

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