USD/CAD points to further upside – Scotiabank

In view of strategists at Scotiabank, the near term outlook on USD/CAD signals further gains.

Key Quotes

“Note that our seasonal studies suggest that USDCAD typically marks a major low over the course of the next few weeks before pushing higher in H2”.

“The USD is consolidating around 1.30. Momentum is neutral on the short-term chart but the strong gain in the market from mid-week supports the outlook for strength in the near-term”.

“We see daily resistance at 1.3095 (consolidation resistance drawn off of a series of highs from April and June). Bigger picture technical signals are bullish. We think upside risks remain quite significant in the next few months”