© Dukascopy Bank SA
"But the break below 94 cents (a 40-month low) in the past week was the marker I set aside, and so I think we have to respect what the market is signalling to us despite all the fiscal and political positives here which are already well known in place."
- Gluskin Sheff + Associates Inc. (based on The Globe and Mail)
Pair's Outlook
Pair continued to trail lower today, but received a bullish impetus from the 20-day SMA/August high at 1.0588/66. Although we do not expect that this will provoke a major rally, it seems reasonable to await a recovery till 1.070. In general, we expect the pair to trade sideways for some time and we expect to see clearer developments in the medium to long term.
Traders' Sentiment
Bulls recovered the 4% of the market they lost yesterday and they once again account fro 75% of all of the market participants. Distribution of pending orders remains were it was since the start of the week—55% set to go long on the pair.
© Dukascopy Bank SA