6 Apr 2015
USD/CAD near-term bearish bias – TDS
FXStreet (Barcelona) - With USD remaining on the defensive post the weak US payrolls, FX Strategists at TD Securities, view that USD/CAD exhibits a bearish bias in the near-term, expecting gains to struggle through low/mid 1.25s before the pair heads towards 1.2360.
Key Quotes
“We continue to look for USDCAD to trade with a softer bias in the near-term; weak US jobs data Friday will keep the USD on the defensive overall, ahead of Canada’s own jobs report on Friday at least.”
“Firmer oil prices (WTI back above $50) this morning will help levitate the CAD) and maintain pressure on the low end of USDCAD’s recent range but the bigger issue for USDCAD in the next few weeks is what happens to US-Canada spreads.”
“On the charts, USDCAD has consolidated over the past few hours and actually looks quite well-supported on dips to the mid 1.24 area intraday.”
“We see resistance at 1.2515/25 intraday and, stronger, at 1.2555/65.”
“We think USD gains through the low/mid 1.25s will struggle to extend ahead of another push lower towards key support at 1.2360.”
Key Quotes
“We continue to look for USDCAD to trade with a softer bias in the near-term; weak US jobs data Friday will keep the USD on the defensive overall, ahead of Canada’s own jobs report on Friday at least.”
“Firmer oil prices (WTI back above $50) this morning will help levitate the CAD) and maintain pressure on the low end of USDCAD’s recent range but the bigger issue for USDCAD in the next few weeks is what happens to US-Canada spreads.”
“On the charts, USDCAD has consolidated over the past few hours and actually looks quite well-supported on dips to the mid 1.24 area intraday.”
“We see resistance at 1.2515/25 intraday and, stronger, at 1.2555/65.”
“We think USD gains through the low/mid 1.25s will struggle to extend ahead of another push lower towards key support at 1.2360.”