© Dukascopy Bank SA
- TD Securities (based on Bloomberg)
Pair's Outlook
It seems that the last two day drop was somewhat exaggerated; however, the Greenback has reversed some of these losses as of today. As for the technical studies they continue to be bullish and that has been the momentum already for some time. We see the pair surpassing the 1.12 level and to target the 20-day SMA and weekly PP at 1.1229/40. Nevertheless, if USD/CAD fails at 1.12 then a dip towards 1.1150 is likely.
Traders' Sentiment
The traders' sentiment with respect to USD/CAD stays strongly bullish, since as many as 74% of open positions are long. The distribution between the buy and sell orders is also very much unstable—32% and 68% respectively.
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