Instrument: USDCAD
Technical Analysis
Bullish Preference:
A Buy position is envisaged if price trades above 1.31800 with take profit at 1.32004
Bearish Preference:
A Sell position is envisaged if price trades below price 1.31342 with take profit at 1.31194
Fundamentals:
3:00pm CAD BOC Rate Statement CAD Overnight Rate CAD Ivey PMI
Comment:
The Canadian dollar will strengthen over the coming year, recouping recent declines against a broadly stronger U.S. counterpart, supported by solid domestic economic prospects and rising interest rates. A combination of a hawkish Federal Reserve and a more uncertain global economic outlook as Europe’s energy crisis worsened has weighed on the loonie in recent weeks. If risk aversion starts to diminish we could see the Canadian currency start to pull back to levels that are more consistent with fundamentals.
Analysis: SCRUM Team