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"The loonie is still driven by factors outside of Canada."
- Knightsbridge Foreign Exchange (based on Reuters)
Pair's Outlook
Pair lacks enthusiasm to advance above 1.035 which is needed to get rid of the pressure on the pair. It dips below 1.03 instead and at the moment is being supported by the 200-day SMA. If the pair fails here it should fall to 1.024 and then 1.021. In case the 200-day SMA keeps the pair somewhat in 1.03 we could expect some minor rally to 1.035, but pair should not advance far above it.
Traders' Sentiment
Bullish side of pending orders has decreased by 5% and at the moment is at 59% gauge. Distribution of open positions, however, remains exactly at the same point—73% bullish suggesting we will continue to see market dominated by the bulls.
© Dukascopy Bank SA