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"Despite a generalized improvement in risk sentiment, the Canadian dollar has failed to gain traction thus far, weighed down in the aftermath of last week's bearish tilt by the Bank of Canada."
- Cambridge Merchantile Group (based on The Wall Street Journal)
Pair's Outlook
Short and medium term technicals give neutral outlook, but it is worth looking in to the Stochastic indicator which is already sending sell signal or is very close on doing so (in medium term). This indicates increased pressure on the pair and suggests that we might see a sell off soon. Dip below 1.0420 could provoke a sell off to 1.0376 where fair share of mostly used SMA's is located.
Traders' Sentiment
Bulls continue to hold tight grip on the market. They continue to hold overwhelming (73%) majority of all open positions. Bullish side of pending orders increased by 2% and is at 59% gauge.
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