USD/CAD shows timid recovery

The U.S. Dollar seems to have seized losing value a few steps away from the key support area at 1.0285/67 formed by various studies, including the 200-day SMA. Now the pair has to overcome the resistance represented by the weekly and monthly S1 level in order assert its intentions to climb higher from here. However, the daily indicators show the rate may experience difficulties while attempting to start a rally.

The shallow advancement we currently see on USD/CAD's chart has apparently attracted more bulls into the market, being that their portion has grown by two percentage points to 73% in one day. This sentiment largely reflects the overall attitude towards the loonie, most traders (71%) see it as an underperformer.