USD/CAD: Losses through the upper 1.34 area point to more weakness in the near-term – Scotiabank


content provided with permission by FXStreet


Share:

USD/CAD pushed support in the upper 1.34 area. Economists at Scotiabank analyze the pair’s outlook.

USD/CAD should run lower to test 1.3393

Losses through firm USD support in the upper 1.34 area point to more weakness in the near-term at least. 

Short-term trend momentum is picking up more obviously, with the intraday and daily DMIs aligned bearishly for the USD. 

USD/CAD should run lower to test 1.3393 (50% retracement of the July/September move up) which coincides with the early July spike high. A break below here puts the low 1.32s on the radar. 

USD resistance is 1.3490/1.3495.