USD/CAD: further upside likely – Scotiabank

FX Strategist at Scotiabank Eric Theoret sees the likeliness of a test of the 1.33/1.34 area in the near-term.

Key Quotes

“Momentum signals are turning and trend indicators suggest a shift in the balance of risk”.

“USDCAD has broken above its 9 day MA (1.3112) and is flirting with its 21 day MA (1.3155), a level of important resistance over the past two months”.

“A break of the 21 day MA would shift the focus to 1.3300 and 1.3400. Near term support is limited above 1.3050”.