9 Mar 2015
USD/CAD: biased towards an upside break – Scotiabank
FXStreet (Barcelona) - Camilla Sutton CFA, CMT, Chief FX Strategist at Scotiabank, remains biased towards an upside break of the 1.2314-1.2799 range for USD/CAD, with short-term technicals for the pair remaining 'mixed'.
Key Quotes
“In USDCAD terms the currency is trending towards the top end of its six week range of 1.2314 to 1.2799; with increased risk of an upside break.”
“The core drivers for CAD traders to watch are: 1) the Fed; 2) the BoC; 3) oil prices; 4) sentiment. We expect these drivers to continue to put downside pressure on CAD and accordingly expect fresh lows.”
“USDCAD short‐term technicals: mixed—USDCAD continues to trade in its range and technical studies are failing to provide direction with the MACD warning of downside risk, but other studies warning of upside risk.”
“We are biased towards an upside break of the range, but so far technical studies are doing little to confirm this; accordingly patience is likely the best tact.”
“Support lies at the 21‐day MA at 1.2507; while resistance comes in at the recent high of 1.2627.”
Key Quotes
“In USDCAD terms the currency is trending towards the top end of its six week range of 1.2314 to 1.2799; with increased risk of an upside break.”
“The core drivers for CAD traders to watch are: 1) the Fed; 2) the BoC; 3) oil prices; 4) sentiment. We expect these drivers to continue to put downside pressure on CAD and accordingly expect fresh lows.”
“USDCAD short‐term technicals: mixed—USDCAD continues to trade in its range and technical studies are failing to provide direction with the MACD warning of downside risk, but other studies warning of upside risk.”
“We are biased towards an upside break of the range, but so far technical studies are doing little to confirm this; accordingly patience is likely the best tact.”
“Support lies at the 21‐day MA at 1.2507; while resistance comes in at the recent high of 1.2627.”