© Dukascopy Bank SA
"The Canadian dollar is the marquee currency today, breaking parity. We're continuing to see a fairly strong risk-off tone, while many market participants were expecting an extremely quiet session because of the closures in New York. Canadian banks were put on review for a downgrade, and the market didn't get to respond last week, and it is today."
-forexlive.com (based on Bloomberg Businessweek)
Pair's Outlook
Although pair managed to advance above parity condition, its stay there was rather brief. Pairs future is rather uncertain since lot of mixed signals are coming form the fact that pair is at the intersection of two major technical levels (parity condition and 200 bar SMA) at the moment. This can be seen from technical indicators making pairs move to any direction likely.
Traders' Sentiment
Share of long position on the pair decreased drastically (by 13%) since yesterday, but bulls continue to dominate in the market holding 58% of all positions on the pair. Share of pending buy orders continue to hover around 60% mark suggesting bulls should continue to dominate in the market.
© Dukascopy Bank SA