© Dukascopy Bank SA
- Royal Bank of Canada (based on Bloomberg)
Pair's Outlook
Greenback's decline has been stopped by the 2011 high at 1.0658 and we do believe that from this point onwards the buck will start outperforming the loonie. However, a drop towards the weekly S1 at 1.0634 is possible. The monthly technical indicators approve our bullish expectations as the pair has fallen to this year's lowest levels. At the moment the pair is fighting significant resistance level (the weekly PP, monthly S2 and major level at 1.0694/1.0700), if the level is breached a surge might follow.
Traders' Sentiment
Pair's sentiment remains strongly bullish with 72% of the SWFX market participants expecting the U.S Dollar to outperform the Canadian countepart.
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