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21 Aug 2015
USD/CAD short-term outlook remains neutral – Scotiabank
FXStreet (Edinburgh) - Eric Theoret, Currency Strategist at Scotiabank, reiterated the neutral outlook on the pair.
Key Quotes
“USDCAD has been range bound in August, unable to make fresh highs despite the continued decline in oil prices with WTI down over 12% on a month-to-date basis”.
“CAD drivers appear to have shifted, with relative policy expectations taking on greater importance while restraining the overall range of movement given the simultaneous softening of expectations for both the Fed and BoC”.
“We await a break of the August range roughly bound between 1.2950 and 1.3200. Momentum signals are conflicted and short term MA’s have converged to provide support just above 1.3071”.
Key Quotes
“USDCAD has been range bound in August, unable to make fresh highs despite the continued decline in oil prices with WTI down over 12% on a month-to-date basis”.
“CAD drivers appear to have shifted, with relative policy expectations taking on greater importance while restraining the overall range of movement given the simultaneous softening of expectations for both the Fed and BoC”.
“We await a break of the August range roughly bound between 1.2950 and 1.3200. Momentum signals are conflicted and short term MA’s have converged to provide support just above 1.3071”.