USD/CAD sticks to the bullish bias – Scotiabank

In view of FX Strategists at Scotiabank, the pair’s outlook remains bullish in the short term.

Key Quotes

“The USD has run into good selling interest above the 1.34 level Friday and today, leaving some large, potentially bearish candle signals on the hourly charts”.

“But the USD’s refusal to dip significantly suggests that the underlying trend is still positive—something that is reflected in the bullish alignment of trend strength signals on the short, medium and longer run charts”.

“We think minor USDCAD dips remain a buy and expect firm USD support on weakness to the 1.3350/70 zone. We see resistance at 1.3452 (76.4% retracement of the 1.36/1.30 drop)”.