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    USD/CAD puts channel's resistance to the test

    © Dukascopy Bank SA
    "Yellen has pretty much decided the dollar's near-term direction, and with U.S. jobs data out of the way, each currency will likely move on domestic factors versus the dollar." 
    - Barclays (based on CNBC) 

    Pair's Outlook 
    Upon reaching the monthly PP and the 20-day SMA around 1.3150 on Friday, the USD/CAD currency pair retreated from its intraday high and barely managed to hold above 1.30. Stronger NFP data failed to strengthen the US currency, as Yellen's dovish statement kept driving the Buck. Although the US Dollar opened closer to the descending channel's resistance line, a breach is doubtful, as that area is bolstered by the weekly PP. Furthermore, technical studies are also in favour of the bearish scenario. The nearest support, however, is located out of reach around 1.2886, represented by the lower Bollinger band.

    Traders' Sentiment 
    Traders' sentiment reached a perfect equilibrium today, whereas the percentage of sell orders barely changed over the weekend. Today 62% of all pending orders are to sell the Buck (previously 67%).
    © Dukascopy Bank SA

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