USD/CAD: Scope for a fall to 1.2287 – Credit Suisse
|USD/CAD maintains a clear top. Therefore, economists at Credit Suisse still see scope for a break below 1.2455/31 despite the recent stabilization above this level.
Resistance at 1.2608/30 expected to cap
“USD/CAD is back under pressure again and given our view that the broader USD is likely to see a deeper correction lower, we stay biased towards a break below 1.2455/31. Thereafter, we would see scope for a fall all the way to the ‘measured top objective’ at 1.2287, where we would look for a hold to define the bottom end of a broad range.”
“Daily MACD has crossed into bearish territory and continues to accelerate lower, reinforcing the case for further in-range weakness.”
“First resistance moves to 1.2571/77, then 1.2608/30, which should now cap the pair. A break above here would negate the top and turn the risks back higher within the range.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.