- Nomura economists (based on CNBC)
The Buck grew for a fourth consecutive day yesterday. Technical studies suggest that the Greenback will not fall this week; however, a lot of important US releases are expected within the next couple of days, which might have a serious impact on the USD/CAD cross. Despite the expected improvement in the data, the Fed's chief testimony remains the key influence factor. Taking everything into account, the pair is likely to extend gains and meet resistance between a cluster of important levels in face of weekly R2 and the upper Bollinger band at 1.2685.
Market sentiment remains bullish with 67% of all positions being long, while the buy orders account for only 54% (64% five days ago).