USD/CAD rebounds from up-trend

Although it might be too early to make a conclusion, but USD/CAD appears to have bounced off of the rising trend-line at 1.3950, meaning the current target is the weekly pivot point at 1.4082. However, the pair is unlikely to stop here, and in the nearest future we may expect the rate to test the monthly PP at 1.4159. Above that the pair should aim for 1.45. At the same time, in case the rate dips beneath 1.3950, a significant demand level is at 1.3850, where the weekly S1 merges with the 55-day SMA and a Bollinger band.

At present, the market is perfectly neutral both in terms of open positions and pending orders, although yesterday 56% of traders held short positions.