© Dukascopy Bank SA
"The fact that we did not get Governor (Stephen) Poloz' press conference leaves the market more or less in a limbo right now."
- TD Securities (based on Reuters)
Pair's Outlook
The market has just confirmed presence of strong demand at 1.12 (two-month up-trend and weekly S1), and USD/CAD is therefore in a good position to end the downward correction and resume the rally. The immediate resistance is at 1.1286 (weekly PP), but a more serious test of the emerging bullish momentum is going to take place 100 and 150 pips to the North, at 1.1350 (monthly R1) and at 1.14 (2014 high) respectively.
Traders' Sentiment
The sentiment of the SWFX market remains distinctly bullish towards USD/CAD—as many as 73% of open positions are long. In the meantime, the portion of the orders to sell the US Dollar contracted from 61 to 50%.
© Dukascopy Bank SA