USDCAD: CAD outperforms amid firm risk sentiment – Scotiabank
|The CAD is showing moderate outperformance against the USD, supported by stronger commodities and firm risk sentiment. The Bank of Canada maintained its benchmark rate at 2.25%, indicating that current policy is suitable for growth. The CAD's fair value estimate has improved, reflecting its strongest position since last June, report Scotiabank Chief FX Strategist Shaun Osborne and FX Strategist Eric Theoret.
CAD strengthens against USD
"The CAD continues to pressure major USD support in the mid-1.35 area (last June’s low at 1.3540) after spot pushed below long-term trend support (1.3660 earlier this week)."
"Trend momentum signals are aligned bearishly for the USD across short-, medium- and long-term studies which tilts technical risks firmly towards limited USD counter-trend gains."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
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.