USD/CAD still bullish, aims for 1.3839 – Scotiabank

Eric Theoret, FX Strategist at Scotiabank, noted the pair keeps its bullish perspective and could attempt a test of the retracement at 1.3839 in the medium term.

Key Quotes

“USDCAD is showing signs of a decisive turn following Tuesday’s drop, and the near-term balance of risk appears to be shifting back to the upside following the completion of a bullish morning star formation on the four-hour chart”.

“The 9 day MA has served as an important level of near-term support and USDCAD appears set to break back above 1.35”.

“We maintain a bullish medium-term view, looking to a continued retracement of the January-May decline with a focus on the 61.8% Fibo retracement at 1.3839”.

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