The Canadian dollar (CAD) is being dragged along with the largest mass sale in the USD and is registering another decent weekly gain – their fourth consecutive and the largest since the late 2022. The differentials between the US and Canada Osborne, Stratega Chief of FX of Scotiabank.
The Boc can be kept waiting next week
“The CAD has surpassed its peers of raw materials this week, but it is lagging with the main currencies of the G10 by a significant margin. The fair value is being stretched (the actions, the volatility and the prices of the raw materials are a restriction) and our equilibrium estimate is a little above 1.40 this morning. However, that is not necessarily an impediment for more losses of the USD in the short term.”
“On the margin, a stronger body (which implies a certain hardening) adds a little more weight to the idea that the BOC can be kept waiting next week. The downward trend in the USD/CAD is being established more in the graphics in the short and medium term. A solid closure for the CAD this week, below the 200 -day MA in 1,4006 or even below 1,3944 (61.8% of September/February) would be a technical plus for CAD. “
“The intra -price action suggests that the massive sale of the USD is moderating after having fallen below 1.39 previously. Market pressure on the USD can briefly yield, but earnings towards high 1.39/low 1.40 will probably attract a new sale.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
