© Dukascopy Bank SA
"Overall the commodities complex is higher on the day. You've seen 'risk on' sentiment in the market. It seems people are a touch more optimistic despite all the negativity in Europe, the weak data in the U.S."
- Nomura Securities (based on Reuters)
Pair's Outlook
Following an encounter with an accelerated downtrend support at 1.0062, USD/CAD commenced a robust recovery, which has already resulted in a 200 day SMA being effortlessly pierced by the pair. Next notable resistance levels are situated at 1.0105, 1.0159/70 and 1.0218 and are viewed as capable of impeding further advancement by partially or even fully negating bullish impetus.
Traders' Sentiment
An absolute majority of SWFX marketplace participants preferred the U.S. Dollar (75%) to its northern counterpart, which in turn is deemed bullish only by 25% of traders. However, given that the share of sell orders (58%) is increasing, anticipated rally of the pair may be curbed by soon-to-be-opened short positions.
© Dukascopy Bank SA