USD/CAD still bullish above 1.2964/50 – Commerzbank

Axel Rudolph, Senior Analyst at Commerzbank, noted the pair could reach 1.3289 while the 1.2964/50 band underpins.

Key Quotes

“USD/CAD slips towards the 2018 support line at 1.2994 and the current August low at 1.2964”.

“While this level and the 1.2950 mid-June low underpin on a daily chart closing basis, we will retain our medium-term bullish forecast with the July high at 1.3289 and the June peak at 1.3386 remaining in focus”.

“Longer term we still believe that USD/CAD is aiming for the 1.3532/97 November and December 2016 as well as the March 2017 highs. Further up sits the May 2017 peak at 1.3791”.

“Were support at 1.2950 to give way on a daily chart closing basis, however, the 200 day moving average and the 50% retracement at 1.2839/20 could be reached”.