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USD/CAD edged off highs on Monday. Economists at Scotiabank analyze the pair’s outlook.
Spot gains from the intraday low Monday – equating to (failed) a test of the 40-DMA (1.3417 today) – are strong enough on the chart to suggest that the USD’s recent drift lower has stopped. But whether there is a springboard here for renewed upside momentum to develop remains to be seen.
Intraday gains through 1.3480 minor resistance should see the USD pick up a little more support to retest the low/mid-1.3500s.