10 Mar 2015
USD/CAD: Is the rally fake?
FXStreet (Guatemala) - USD/CAD is currently trading at 1.2650 with a high of 1.2684 and low of 1.2596.
USD/CAD recovered nicely from a dip in below the 1.26 handle when supply came in heavy from what is now resistance at 1.2660. With the greenback on the charge again, buying dips would be targeting the 1.2680 ahead of 1.2700 and 11th Feb highs.
However, analysts at TD Securities explained that recent trends suggest to us that although the underlying USD bull move remains deeply entrenched in the market, an extended pause in the rally remains a fairly significant risk. "We may need to see new highs to get the USD moving more convincingly higher."
USD/CAD recovered nicely from a dip in below the 1.26 handle when supply came in heavy from what is now resistance at 1.2660. With the greenback on the charge again, buying dips would be targeting the 1.2680 ahead of 1.2700 and 11th Feb highs.
However, analysts at TD Securities explained that recent trends suggest to us that although the underlying USD bull move remains deeply entrenched in the market, an extended pause in the rally remains a fairly significant risk. "We may need to see new highs to get the USD moving more convincingly higher."