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16 May 2014
Strong short-term USD/CAD signals - TD Securities
FXStreet (Guatemala) - USD/CAD is relatively unchanged at the end of the week, down somewhat in tandem with the general bearish trend. Shaun Osbourne, Chief FX Strategist at TD Securities notes the technical signals.
Key Quotes:
"From a technical point of view, there are few significant pointers to pick up on. The range has been narrow but it has also generated some strong, if only short-term, price signals at both extremes."
"Broadly though, we think the USD is still consolidating and should continue to derive buying interest on modest weakness”.
“The broader pattern of trade—the bull wedge formation we have referred to frequently in the recent past—still suggests upside risks for USD/CAD while support in the low 1.08 zone holds”.
“The seasonal tendency for USD/CAD to spike in May/June through early July should not be forgotten either."
Key Quotes:
"From a technical point of view, there are few significant pointers to pick up on. The range has been narrow but it has also generated some strong, if only short-term, price signals at both extremes."
"Broadly though, we think the USD is still consolidating and should continue to derive buying interest on modest weakness”.
“The broader pattern of trade—the bull wedge formation we have referred to frequently in the recent past—still suggests upside risks for USD/CAD while support in the low 1.08 zone holds”.
“The seasonal tendency for USD/CAD to spike in May/June through early July should not be forgotten either."