USD/CAD supported by long-term uptrend

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"With this unexpected pressure on the inflation side, it raises the probability of the Bank of Canada moving into a tightening mode and a higher probability is, I think, what is providing a lift to the Canadian dollar."
- RBC (based on Reuters)


Pair's Outlook
After a weekly decline posted, the USD/CAD cross has slightly appreciated today and it remains strongly supported by the monthly PP and up-trend support line at 1.1242. If the pair's bears somehow drag the pair's price below the mark then that could cause a sell-off below the 1.12 level. Although, we think that it is the less likely scenario, as the current bias still is bearish. Moreover, the weekly and monthly technical studies support the bullish scenario.

Traders' Sentiment
The sentiment towards the pair has increased slightly, at the moment , as many as 73% of the SWFX traders' have opened long positions. In the meantime, the share of orders to enter the market with a sell trade edged up to 62%.
© Dukascopy Bank SA

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