USD/CAD a continuation of the bearish trend?

FXStreet (Guatemala) - USD/CAD is easing back losses creating a bearish looking continuation at 1.1070 currently.

Strategists at TD Securities said “USDCAD’s bearish key reversal day Friday remains the salient feature of the daily chart, With spot trending below steep, daily trend channel support, the odds of a correction, perhaps only short-lived but possibly quite sharp, remain alive. New highs are needed—soon—to reinvigorate the underlying bull trend and stave off retracement pressure”. From the calendar today the dollar has had a little life from factor orders against what was a disappointing ISM Manufacturing number yesterday. The week ahead comes with Non Farm Payrolls which markets are expected to start positioning ahead of.

USD/CAD Levels

The 20 DMA is 1.0999, the 50 DMA is 1.0778 and the 200 DMA is 1.0460. RSI (14) 48.45. Supports are 1.0953, 1.0992, 1.1019. Spot is 1.1070 while resistances are 1.1110, 1.1135, 1.1225, 1.1300 and 1.1349.

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USD/JPY's recovery capped at 101.65

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