USD/CAD: Year-end target remains at 1.33 – TDS

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Oct 21, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Oct 7, 2015
    Likes Received:
    FXStreet (Córdoba) - According to analysts from TD Securities the area around 1.28/1.29 in USD/CAD could be an opportunity for a long position, but a break lower would open potential toward 1.2550.

    Key Quotes:

    “After correcting aggressively from multi-year highs, many have begun to question whether the USDCAD bull market is over. Rather, we view recent price action as a healthy and necessary pre-condition for another but more moderate up -leg over the medium-term. Over the course of the rest of the year however, we think that USDCAD is in for a phase of benign trading until a clear policy catalyst arrives. Ultimately, a weak but stable CAD is necessary to facilitate the structural realignment in the economy.”

    “The 1.28/29 region is a key area for USDCAD, in our view, as it represents levels observed post-BoC cut in July. We view this range as an appealing opportunity to add small longs from a strategic perspective.”

    “Our year-end target remains at 1.33 so we like adding on dips towards the 1.28/1.29 zone from a strategic perspective (our first half target is 1.37). A break below 1.2800 would open downside potential towards 1.2550/1.2650 area but it would not surprise us to see momentum players step in and push it even lower.”
    For more information, read our latest forex news.

Share This Page

free forex signals