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- IG Securities (based on Business Recorder)
Pair's Outlook
Even though the USD/CAD currency pair experienced another decline yesterday, the bearish momentum appears to be fading, as the movements kept getting smaller since Friday. Technically, the pair should weaken again today, but with upside risks present, especially since technical indicators retain their mixed signals. The Greenback opened on top of the lower Bollinger band today, but it is unlikely to prevent the Buck from falling beyond the 1.27 level if bears fully take over the market. At the same time, focus should be on the monthly S1 and the weekly S3 cluster as a potential second support if the Loonie keeps strengthening.
Traders' Sentiment
Traders' sentiment slightly weakened over the day, as 61% of all open positions are now long, compared to 63% on Tuesday.
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