© Dukascopy Bank SA
- Bank of New York Mellon (based on Reuters)
Pair's Outlook
There are plenty of reasons to be bullish USD/CAD right now. First of all, the pair seems to be forming an upward channel with the lower trend-line at 1.3250 and the upper trend-line at 1.3550. Secondly, most of the indicators in the weekly and monthly charts are giving ‘buy' signals. Accordingly, we expect the US Dollar to rebound in the nearest future and surpass the 2004 Q3 high at 1.3380 before the rate starts a bearish correction.
Traders' Sentiment
There are relatively more bearish positions in the SWFX market (73%) than last week (71%). In the meantime, the gap of 20 percentage points between the buy and sell orders was wiped out during the weekend.
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