USD/CAD edges closer to nine-week low

Note: This section contains information in English only.
Source: Dukascopy Bank SA
© Dukascopy Bank SA
"Our estimate of fair value remains lower, around 1.2765 today, but we think further progress in that direction may become increasingly difficult until we get a clearer picture of accelerating Canadian growth." 
- TD Securities (based on FXStreet) 


Pair's Outlook 
The USD/CAD dropped for the fifth consecutive day on Tuesday, as the support cluster around 1.3060 failed to cause a rebound and the poor Trade Balance figures weighed on the Buck. The mentioned cluster is now providing resistance, limiting the upside volatility; thus, the Greenback risks falling under the 1.30 psychological area today. Even though the Bollinger band is the immediate support, it will doubtfully hold the losses, allowing the US Dollar to drop as low as 1.2946, where the weekly S2 rests. The pair, however, is expected to close above the weekly S2. 

Traders' Sentiment 
Bulls are barely outnumbering the bears, as 51% of all positions are long. The share of purchase orders edged higher from 61 to 63%.
© Dukascopy Bank SA

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