7 Apr 2015
USD/CAD trend appears soft – TDS
FXStreet (Edinburgh) - In the view of strategists at TD Securities, the underlying trend of the pair appears soft so far.
Key Quotes
“The sell-off in the USD has stalled near support at 1.2455 but the underlying trend in USDCAD still looks soft as funds backtracks form the recent failure at/rejection of 1.28”.
“Weakness below the 28– and 40-day MAs keeps the spot undertone offered but is not a definitive negative at this point (a bearish crossover would add to the impression of rising bear pressure)”.
“From here, we see limited upside (1.2525/50) and more pressure on support in the mid 1.24s ahead of a test of key support at 1.2355/60. Above 1.2565 eases near-term bear pressure on the USD”.
Key Quotes
“The sell-off in the USD has stalled near support at 1.2455 but the underlying trend in USDCAD still looks soft as funds backtracks form the recent failure at/rejection of 1.28”.
“Weakness below the 28– and 40-day MAs keeps the spot undertone offered but is not a definitive negative at this point (a bearish crossover would add to the impression of rising bear pressure)”.
“From here, we see limited upside (1.2525/50) and more pressure on support in the mid 1.24s ahead of a test of key support at 1.2355/60. Above 1.2565 eases near-term bear pressure on the USD”.