5 Dec 2013
Flash: USD/CAD to break past 1.07 - Societe Generale
FXstreet.com (Bali) - The Canadian Dollar weakened further following the slightly dovish monetary policy release by the Bank of Canada, with Sebastien Galy, FX Strategist at Societe Generale, noting USD/CAD looks set to break the 1.07 mark as traders will probably look to exploit the ongoing uptrend.
Key Quotes
"The BoC looked at better data in the US and Canada and taken a slightly dovish stance to it. It is flagging the under-peforming energy sector and importantly a more persistent downward pressure on core prices from more retail competition (courtesy of new US entrants incidentally)."
"Overall, you can cherry pick your dovishness if you want from this statement, which is just what the market did trying to take out the 1.07 strikes. The odds is that the market will succeed and break past these barriers for the next wave of acceleration. In a market with few trends, it won’t go unnoticed."
Key Quotes
"The BoC looked at better data in the US and Canada and taken a slightly dovish stance to it. It is flagging the under-peforming energy sector and importantly a more persistent downward pressure on core prices from more retail competition (courtesy of new US entrants incidentally)."
"Overall, you can cherry pick your dovishness if you want from this statement, which is just what the market did trying to take out the 1.07 strikes. The odds is that the market will succeed and break past these barriers for the next wave of acceleration. In a market with few trends, it won’t go unnoticed."