© Dukascopy Bank SA
Pair's Outlook
The US Dollar has been appreciating against the Canadian one since last Thursday, steadily making its way towards the 55-day SMA. Today this target was reached, but it is uncertain whether supply, represented by this SMA, will be sufficient to cause the USD/CAD currency pair to once again begin moving down. Technical indicators are supporting the probability of the negative outcome, but a surprise by the FOMC minutes could also prolong the current bullish momentum. From the downside the weekly PP is the closest support, while the upper border is expected to be the cluster around 1.2970, formed by the 20-day SMA, the weekly R1 and the 23.60% Fibo.
Traders' Sentiment
Now 55% of all open positions are long (previously 56%), whereas the number of sell orders edged lower from 57 to 51%.
© Dukascopy Bank SA