USD/CAD has pushed higher to a fresh two-week high. Economists at Scotiabank expect the pair to extend its gains back to the 1.2775/1.2875 range.
Drop back under 1.2685 to relieve near-term upside pressure
“A high close on the week for the USD will confirm a bullish outside range week which will ease downward pressure on the USD.”
“We note that shorter-term trend momentum indicators have flipped to more USD-supportive readings now.”
“The charts suggest some risk of USD gains extending back to the 1.2775/1.2875 range.”
“A drop back under 1.2685 will relieve near-term upside pressure on the USD but technically safe ground for the CAD remains distant (low 1.26s).”