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- Michael Sneyd, BNP Paribas (based on CNBC)
Pair's Outlook
USD/CAD rallied on Wednesday, in spite of the expectations. At first the Greenback fell as far as 1.24, although a sudden change of heart happened amid the hawkish meeting minutes, and the pair rose. The resistance cluster around 1.2560 prevented the pair from gaining even more ground. The technical studies are still giving bearish signals, and the Buck is likely to bounce back. Losses should be limited by the psychological level of 1.25.
Traders' Sentiment
Bullish market sentiment strengthened further, as longs returned to their Tuesday's level of 73%. At the same time, the portion of purchase orders lost two percentage points. Buy orders now take up 58% of the market.
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